Merck & Co. is plucking a cancer project from the branch of Chinese-based Kelun Pharmaceutical for up to $1.4 billion, but details from the New Jersey-based Big Pharma have been hard to come by.
The deal, first disclosed Monday on the Shenzhen stock exchange, has Merck handing over $47 million in upfront cash in exchange for ex-China rights to a “macromolecular tumor project.” However, what exactly is being exchanged remains unknown; Kelun has more than a dozen oncology assets, with 11 in clinical trials and three in preclinical testing.
A Merck spokesperson said in an email the company had nothing to add beyond what was released in the disclosure.
Translated from Chinese, the disclosure says Merck will pay $17 million off the top and an additional $30 million after the agreement is formally signed. Kelun stands to earn up to $1.36 billion in cumulative milestones.
It’s not the first time Kelun has made a licensing splash. In 2018, it inked a deal for its midstage PD-L1 antibody with Harbour BioMed for up to $350 million.
As for Merck, the plucking of Kelun’s project comes as it reportedly considers larger M&A plays to capitalize on biotech’s bear market. A few of the names supposedly on the company’s shortlist are Mirati Therapeutics, Strand Therapeutics and Arcturus Therapeutics.
By Max Bayer
Source: fiercebiotech.com
Novartis will acquire Mariana’s lead candidate MC-339, a radioligand therapy (RLT) designed to target small-cell lung cancer. Last year, Mariana had raised $175m in a Series B round from several funds and pharma giant Eli Lilly.
The company’s aspiration to expand the use of its obesity products to cardiovascular indications has been successful. In March, its blockbuster drug Wegovy was approved by the US Food and Drug Administration (FDA) for reducing the risk of cardiovascular diseases in obese or overweight adults.
Massachusetts-based Deciphera brings to the table an extensive kinase inhibitor pipeline, kinase drug discovery expertise, and a strong commercial and sales platform in the US and European markets that is meant to advance Ono’s capabilities and presence in the oncology space.