ZURICH: Novartis said on Monday it was integrating its pharmaceuticals and oncology units into an innovative medicines (IM) business to simplify its structure, targeting savings of at least $1 billion by 2024.

"Integrating pharmaceuticals and oncology business units into an innovative medicines (IM) business with separate US and international commercial organizations will increase focus, strengthen competitiveness and drive synergies," the Swiss pharmaceutical company said in a statement.

It said it expects selling, general and administrative savings of at least $1 billion to be fully embedded by 2024 as a result of these changes.

The company based in Basel appointed Marie-France Tschudin as president of innovative medicines international and chief commercial officer, and Victor Bulto as president of innovative medicines in the United States.

Steffen Lang will take over as president operations, while Shreeram Aradhye becomes president global drug development and chief medical officer. Susanne Schaffert, Robert Weltevreden and John Tsai are leaving Novartis, the company said.

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Value creation through these operational improvements should ensure at least 4% sales growth in constant currency through 2026.

Novartis also expects to deliver at the high end of its IM margin guidance of high 30s in the medium term and 40% or more in the mid- to long-term.