The Company has entered into asset acquisitions, alliances and other arrangements with third parties to acquire rights to products it does not have, to access markets it does not operate in and to otherwise share development costs or business risks. The Company’s most significant agreements of this nature are summarized below.

In April 2026, Teva entered into a definitive agreement to acquire all outstanding shares of Emalex Biosciences (“Emalex”), including its primary asset, ecopipam (EBS-101), which has completed Phase 3 for the treatment of Tourette syndrome in a pediatric population. On June 10, 2026, Teva completed the acquisition of Emalex, and paid approximately $700 million to Emalex’s former shareholders. Emalex’s former shareholders and other third parties may be eligible to receive additional milestone payments of up to $200 million and $125 million, respectively, as well as royalties on global net-sales of ecopipam (EBS-101), upon commercialization and subject to regulatory approval. On June 18, 2026, Teva submitted a New Drug Application (“NDA”) to the FDA for ecopipam (EBS-101), supported by results from the Phase 3 trial. On August 18, 2026, the FDA accepted Teva’s NDA and granted Priority Review for ecopipam (EBS-101).

The acquisition was accounted for as an ‘asset acquisition’ as it did not meet the definition of a ‘business,’ since substantially all of the fair value of the gross assets acquired was concentrated in an IPR&D asset, under ASC 805, Business Combinations. The total consideration was allocated based on the relative fair values of the assets acquired and liabilities assumed, and no goodwill or contingent consideration was recognized. Such contingent consideration payments will be recognized once they become probable and reasonably estimable. In accordance with ASC 730, since the IPR&D asset had no alternative future use in its acquired form, the Company recorded it as research and development expense. The fair value of acquired IPR&D was determined primarily using the income approach, which requires a forecast of all of the expected future cash flows. A discount rate of 8.75% was applied to the projected cash flows.


						(U.S. $ in millions)
Cash consideration for outstanding shares, net of working capital adjustments						696
Transaction costs						8
Total consideration allocated						704
Other current assets						2
Deferred income taxes						134
Valuation allowance						(134)
Accrued expenses						(18)
Other liabilities						(4)
Total identifiable assets and liabilities acquired						(20)
Acquired IPR&D						724
Total consideration allocated						704

In August 2026, Teva entered into an asset sale agreement with BioXcel Therapeutics, Inc. (“BioXcel”) to serve as the stalking horse bidder in a court-supervised sale process pursuant to Section 363 of Chapter 11 of the U.S. Bankruptcy Code for the acquisition of substantially all of BioXcel’s assets, including IGALMI® (dexmedetomidine) sublingual film and the related pending supplemental New Drug Application (“sNDA”) for BXCL-501. Following the court-supervised sale process, Teva was selected as the successful bidder for the assets, and on October 21, 2026, the court approved the sale order. On October 27, 2026, Teva announced the completion of the acquisition of the neuroscience assets of BioXcel, including worldwide rights to BXCL-501 and IGALMI (dexmedetomidine) sublingual film. Under the terms of the agreement, Teva will acquire the assets for an upfront payment of $58 million and up to an additional $68 million in contingent payments. The contingent payments include time-based payments linked to the timing of the pending FDA approval of BXCL-501, including potential delays in approval, as well as payments based on the achievement of specified sales milestones. BXCL-501 is under FDA review for potential at-home use for the acute treatment of agitation associated with schizophrenia or bipolar I or II disorder in adults. IGALMI is FDA-approved for the acute treatment of agitation associated with schizophrenia or bipolar I or II disorder in adults under the supervision of a healthcare provider.

In September 2026, Teva entered into a global license, development, and commercialization agreement with Samsung Bioepis (“Samsung”) for up to six biosimilar candidates, with two confirmed investigational biosimilar candidates, SB41, a biosimilar candidate referencing Fasenra® (benralizumab), and SB44, a biosimilar candidate referencing Ilaris® (canakinumab), including an option to add up to four additional biosimilar candidates in the future. Under the terms of the agreement, Samsung will be responsible for the development, regulatory registration, and manufacture of the biosimilars, while Teva will be responsible for commercialization in global markets, including the U.S., Europe, and Canada. The companies have agreed to an option for expanding the partnership to other territories. Each company equally shares the related development costs, subject to an aggregate cap of $122 million per company. In the third quarter of 2026, Teva recognized an $8 million upfront payment obligation as R&D expenses, which is expected to be paid in the fourth quarter of 2026. Teva and Samsung will share revenues from commercialization of these biosimilars.

On November 3, 2026, Teva announced that it entered into a license and commercialization agreement in the U.S. with Samsung for the commercialization of two FDA-approved immunology biosimilars, infliximab-abda, a biosimilar to Remicade® (infliximab), and ETICOVO® (etanercept-ykro), a biosimilar to Enbrel® (etanercept). Under the terms of the agreement, Samsung will be responsible for the ongoing regulatory oversight and manufacture of the biosimilars, while Teva will be responsible for commercialization in the U.S. Subject to certain conditions, Teva will pay Samsung an upfront payment of $50 million. Samsung may be eligible for additional milestone payments, including future launch and commercial milestone payments of up to $370 million. Teva and Samsung will share profit from the commercialization of these products.

In December 2025, Teva entered into an agreement with Polpharma Biologics International AG (“Polpharma”), which became effective in June 2026, for the commercialization of the intravenous and subcutaneous formulations of Polpharma’s proposed biosimilar to Ocrevus® (ocrelizumab). Under the terms of the agreement, Polpharma retains full responsibility for the development and manufacturing of the biosimilar candidate, and Teva will be responsible for regulatory submissions and, upon approval, commercialization of both formulations in the United States, Europe, Brazil, Canada, Australia, New Zealand, Israel and Turkey. In the third quarter of 2026, Teva paid an upfront payment and a milestone payment to Polpharma, each in the amount of $15 million, which were recognized as R&D expenses during the second and third quarters, respectively. Polpharma may be eligible for additional future development, regulatory and commercial milestone payments, in an aggregate amount of up to $92 million. Teva and Polpharma will share revenue from the commercialization of this biosimilar.

On March 3, 2026, Teva entered into a funding agreement with Blackstone Life Sciences (“Blackstone”) to support the development of Teva’s duvakitug (anti-TL1A, TEV-’574). Under the terms of the agreement, Blackstone will provide Teva up to $400 million to fund ongoing and future development costs for duvakitug, spread over four years. In exchange, and subject to regulatory approval, Teva will pay Blackstone a milestone payment in an amount approximately equal to the total funding provided by Blackstone, in addition to commercial milestones and royalties upon commercialization. In each of the first, second and third quarters of 2026, Teva recognized $30 million as reimbursement for R&D expenses incurred in connection with this agreement.

In April 2024, Teva announced it entered into a strategic licensing agreement with mAbxience for TEV-‘316, a biosimilar candidate currently in development for the treatment of multiple oncology indications. Under the terms of the licensing agreement, mAbxience will develop and produce the biosimilar product and Teva will lead the regulatory processes and commercialization in multiple global markets, including Europe and the U.S. In September 2024, Teva and mAbxience entered into an amendment to the licensing agreement whereby, similar to the initial licensing agreement, mAbxience will lead the development and production of TEV-‘333, an anti-PD-1 oncology biosimilar candidate and Teva will manage submissions for regulatory approvals and oversee commercialization in the designated markets.

In 2024, Teva paid mAbxience upfront and milestone payments of $20 million under the initial agreement, and $15 million under the amendment to the licensing agreement, which were recorded as R&D expenses. In 2025, Teva paid milestone payments in the amount of $29 million, which were recorded as R&D expenses. During the third quarter of 2026, Teva paid a milestone payment of $5 million, which was recognized as R&D expenses. mAbxience may be eligible for additional future development, regulatory and commercial milestone payments, in an aggregate amount of up to $286 million.

On March 28, 2024, Teva and Launch Therapeutics, Inc. (“Launch Therapeutics”) entered into a clinical collaboration agreement to further accelerate the clinical research program of Teva’s Dual-Action Asthma Rescue Inhaler (“DARI”) (ICS-SABA; TEV-‘248). As part of this clinical collaboration agreement, Teva also entered into a development funding agreement with funds affiliated with Abingworth LLP (“Abingworth”). Under the clinical collaboration agreement, Launch Therapeutics, a clinical development company backed by Abingworth and Carlyle, the global investment firm, has the lead role in the operational execution and management of the planned clinical trials. Teva will retain primary responsibility for manufacturing, regulatory interactions in the U.S., and commercialization. DARI (ICS-SABA) is currently in Phase 3 for the treatment of asthma symptoms addressing both immediate symptoms and long-term inflammation.

Under the development funding agreement, Abingworth provided Teva $150 million to fund ongoing development costs for DARI (ICS-SABA). In exchange and subject to regulatory approval, Teva will pay Abingworth a milestone payment in the amount actually funded by Abingworth, as well as success payments based on DARI (ICS-SABA) sales. In January 2026, Teva and Abingworth signed an amendment to the development funding agreement to increase the total development funding by an additional $50 million. During 2025 and 2024, Teva recognized $98 million and $42 million, respectively, as reimbursement for R&D expenses incurred in connection with this agreement. During each of the first and second quarters of 2026, Teva recognized $30 million as reimbursement for R&D expenses incurred in connection with this agreement. Collectively, these reimbursements amounted to the total funding by Abingworth of $200 million.

On November 26, 2023, Teva entered into a license agreement with Biolojic Design Ltd. (“Biolojic”), pursuant to which Teva received exclusive rights to develop, manufacture and globally commercialize BD9 (TEV-‘325) multibody with potential indications including asthma and atopic dermatitis. In exchange, Teva paid an upfront payment of $10 million in 2024. During 2025, Teva paid a milestone payment of $5 million, which was recorded as R&D expenses. During the first quarter of 2026, Teva recognized a milestone payment of $5 million as R&D expenses, which was paid in the second quarter of 2026. In the second quarter of 2025, investigational new drug (IND)-enabling studies of BD9 (TEV-‘325) were initiated for this program. Biolojic may be eligible to receive additional development and commercial milestone payments of approximately $500 million, over the next several years, based on the achievement of certain pre-clinical, clinical and regulatory milestones, with the majority of payments based on future sales achievements.

On November 9, 2023, Teva entered into a funding agreement with Royalty Pharma plc. (“Royalty Pharma”) to further accelerate the clinical research program for Teva’s olanzapine LAI (TEV-’749). Under the terms of the funding agreement, Royalty Pharma will provide Teva up to $100 million to fund ongoing development costs for olanzapine LAI (TEV-‘749). During 2023 and 2024, Teva recorded $100 million as reimbursement for R&D expenses incurred in connection with this agreement, which collectively amounted to the total funding by Royalty Pharma. On December 9, 2025, Teva submitted an NDA to the FDA for olanzapine LAI (TEV-’749), based on the results from the Phase 3 trial, which was accepted by the FDA in February 2026. In May 2026, the European Medicines Agency (“EMA”) accepted Teva’s Marketing Authorization Application (“MAA”) for olanzapine LAI (TEV-’749). On October 9, 2026, Teva announced that the FDA approved WELTRUZATM (olanzapine) for extended-release injectable suspension, a new once-monthly, subcutaneous long-acting injectable (LAI) for the treatment of schizophrenia in adults. In the fourth quarter of 2026, Teva will recognize an expense under Other loss (income) in connection with a milestone of $50 million, which will be paid over four years, in addition to royalties on net sales upon commercialization that will be recorded as cost of sales in future periods.

On January 11, 2026, Teva entered into another funding agreement with Royalty Pharma to further accelerate the clinical research program for Teva’s anti-IL-15 antibody (TEV-’408), which is currently developed for the treatment of vitiligo and Celiac disease. Under the terms the agreement, Royalty Pharma will provide Teva up to $500 million to fund ongoing development costs for TEV-’408, comprising of two components: (i) based on Phase 1b results of TEV-’408 in vitiligo, Royalty Pharma will provide Teva with $75 million as R&D funding; and (ii) based on the future results from Phase 2b in vitiligo, which is expected to begin in the fourth quarter of 2026, Royalty Pharma will have an option to provide an additional $425 million. In exchange and subject to regulatory approval, Teva will pay Royalty Pharma a milestone payment of 100%-130% of the amount actually funded by Royalty Pharma, subject to certain conditions, in addition to royalties upon commercialization. On July 7, 2026, Teva announced its plans to advance TEV-’408 into a Phase 2b study in vitiligo, following encouraging results from the Phase 1b open-label study in adults with active or stable non-segmental vitiligo. On September 2, 2026, Teva announced positive topline results from an ongoing Phase 2a study of TEV-‘408, in adults with Celiac disease. During the second and third quarters of 2026, Teva recognized $16 million and $8 million, respectively, as reimbursement for R&D expenses incurred in connection with this agreement.

On October 3, 2023, Teva entered into an exclusive collaboration with Sanofi to co-develop and co-commercialize Teva’s duvakitug (anti-TL1A, TEV-’574), a novel anti-TL1A medicine for the potential treatment of Crohn’s disease and ulcerative colitis, two types of inflammatory bowel disease. Under the terms of the collaboration agreement, in partial consideration of the licenses granted to Sanofi, Teva received an upfront payment of $500 million in the fourth quarter of 2023, which was recognized as revenue. In October 2025, Sanofi and Teva initiated Phase 3 studies for duvakitug for Crohn’s disease and ulcerative colitis. Consequently, in the fourth quarter of 2025, Teva received development milestone payments of $250 million for each indication, which were recognized as revenue. Additionally, Teva may receive up to $500 million in development and launch milestones. Under the terms of the collaboration agreement, each company equally shares the remaining development costs globally and profits and losses in major markets, with other markets subject to a royalty arrangement, and Sanofi leads the development of the Phase 3 program. Teva will lead commercialization of the product in Europe, Israel and specified other countries, and Sanofi will lead commercialization in North America, Japan, other parts of Asia and the rest of the world. Studies for two additional indications, hidradenitis suppurativa (HS) and fibrostenotic Crohn’s Disease (FSCD), are expected to be initiated in 2026.

In October 2021, Teva announced a license agreement with MODAG GmbH (“Modag”) providing Teva with an exclusive global license to develop, manufacture and commercialize Modag’s lead compound, emrusolmin (TEV-’286) and a related compound (TEV-’287). Teva paid an upfront payment of $10 million to Modag in the fourth quarter of 2021, which was recorded as R&D expenses. Emrusolmin (TEV-’286) is developed for the treatment of Multiple System Atrophy (“MSA”) and Parkinson’s disease. In the third quarter of 2024, Teva initiated a Phase 2 clinical trial for emrusolmin (TEV-’286). On November 2, 2026, Teva announced that it will discontinue the Phase 2 study evaluating emrusolmin (TEV-‘286) in adults with MSA. The decision follows a recommendation from the independent data monitoring committee (IDMC), based on a prespecified interim futility analysis, indicating a low probability of the study meeting its primary efficacy endpoint if continued. No safety concerns were identified in the interim analysis. A comprehensive analysis and evaluation of the available open-label extension study data will follow. This decision does not represent a final decision on the broader emrusolmin program. In the second quarter of 2025, Teva initiated a Phase 1 clinical trial for TEV-‘287, which is being developed for the treatment of Parkinson’s disease, and consequently paid a milestone payment of $10 million, which was recorded as R&D expenses. Modag may be eligible for additional future development milestone payments in an aggregate amount of up to $20 million, as well as future commercial milestones and royalties.

In August 2020, Teva entered into an agreement with biopharmaceutical company Alvotech for the exclusive commercialization in the U.S. of five biosimilar product candidates. The initial pipeline for this collaboration included biosimilar candidates addressing multiple therapeutic areas, including the then proposed biosimilars to Humira® (adalimumab) and Stelara® (ustekinumab). Under the terms of the agreement, Alvotech is responsible for the development, registration and supply of the biosimilar product candidates and Teva will exclusively commercialize the products in the U.S. In July 2023, Alvotech and Teva amended their collaboration agreement, adding two new biosimilar candidates as well as line extensions of two current biosimilar candidates to their collaboration.

Teva made upfront and milestone payments in an aggregate amount of $154 million between 2020 and the third quarter of 2026, including a milestone payment of $20 million which was paid during the first quarter of 2026. Additional development and commercial milestone payments of up to approximately $320 million, in addition to royalty and milestone payments related to the amendment of the collaboration agreement entered into in July 2023, may be payable by Teva over the next few years. Teva and Alvotech will share revenue from the commercialization of these biosimilars.

The FDA approved SIMLANDI® (adalimumab-ryvk) injection, as an interchangeable biosimilar to Humira® in February 2024 and it became available in the U.S. in May 2024. On April 17, 2024, Alvotech and Teva amended their collaboration agreement to enable the purchase by Quallent of a private label adalimumab-ryvk injection from Alvotech for the U.S. market, with Alvotech sharing profits with Teva on the private label sales.

The FDA approved SELARSDI® (ustekinumab-aekn) injection for subcutaneous use, as a biosimilar to Stelara® in April 2024, and it became available in the U.S. in February 2025, and in May 2025, the FDA approved SELARSDI (ustekinumab-aekn) injection in all presentations matching the reference product, effective as of April 30, 2025.

In January 2025, the FDA accepted for review the Biologic License Applications (“BLA”) for Alvotech’s proposed biosimilars to Simponi® and Simponi Aria® (golimumab), and in February 2025, the FDA accepted for review the BLA for Alvotech’s proposed biosimilar to Eylea® (aflibercept). On June 4, 2026, Alvotech announced the resubmission to the FDA of BLAs for these three proposed biosimilars, following the complete response letters (CRL) received in the fourth quarter of 2025. On December 19, 2025, Alvotech and Teva announced that they have reached a settlement and license agreement with Regeneron Pharmaceuticals Inc., concerning the launch of Alvotech’s proposed biosimilar to Eylea® (aflibercept) in the United States, granting it a license entry date in the fourth quarter of 2026. On June 8, 2026, Alvotech announced that the FDA accepted for review the BLA for its proposed biosimilar to Entyvio® (vedolizumab).

In November 2013, Teva entered into an agreement with MedinCell for the development and commercialization of multiple long-acting injectable (“LAI”) products. Teva leads the clinical development and regulatory process and is responsible for the commercialization of these products. The lead product is risperidone LAI (formerly known as TV-46000). On April 28, 2023, the FDA approved UZEDY® (risperidone) extended-release injectable suspension for the treatment of schizophrenia in adults, and Teva launched it in the U.S. in May 2023. On October 10, 2025, Teva and MedinCell announced that the FDA approved UZEDY as a once-monthly extended-release injectable suspension as monotherapy or as adjunctive therapy to lithium or valproate for the maintenance treatment of bipolar 1 disorder (BD-1) in adults. MedinCell may be eligible for future sales-based milestone payments of up to $105 million with respect to UZEDY. Teva also pays MedinCell royalties on net sales.

The second selected product candidate was olanzapine LAI (TEV-’749) for the treatment of schizophrenia. Following Teva's decision in the third quarter of 2022 to progress the development to Phase 3, Teva paid a milestone payment of $3 million to MedinCell, which was recognized as R&D expenses. In the first quarter of 2025, Teva paid a $5 million milestone payment to MedinCell, which was recognized as R&D expenses. On October 9, 2026, Teva announced that the FDA approved WELTRUZA (olanzapine) for extended-release injectable suspension, a new once-monthly, subcutaneous long-acting injectable (LAI) for the treatment of schizophrenia in adults and, as a result, Teva recognized a milestone payment to MedinCell of $4 million. In May 2026, the EMA accepted Teva’s MAA for olanzapine LAI (TEV-‘749).

On December 31, 2024, Teva classified its API business (including its R&D, manufacturing and commercial activities) as held for sale. The intention to divest is in alignment with Teva’s Pivot to Growth strategy, and Teva is conducting a sales process for this matter. However, there can be no assurance regarding the ultimate timing or structure of a potential divestiture or whether a divestiture will be completed at all.

The table below summarizes all of Teva’s assets and liabilities included as held for sale as of September 30, 2026 and December 31, 2025:


	September 30,		December 31,
	2026		2025
	(U.S. $ in millions)
Accounts receivables	$	68	$	86
Inventories	560		506
Property, plant and equipment, net	1,087		1,020
Identifiable intangible assets, net	18		29
Goodwill	223		213
Other current assets	73		87
Other non-current assets	180		184
Expected loss on sale *	(372)		(283)
Total assets of the disposal group classified as held for sale in the consolidated balance sheets	$	1,836	$	1,842
Accounts payables	(211)		(261)
Other current liabilities	(22)		(16)
Other non-current liabilities	(63)		(77)
Total liabilities of the disposal group classified as held for sale in the consolidated balance sheets	$	(296)	$	(354)