Oct. 18 Quick Takes: Merck to pay $4B up front for three Daiichi ADCs
Plus: PTC reaps $1B from sale of Evrysdi royalties and updates from Sirius, BMS and Ultragenyx
Merck & Co. Inc. (NYSE:MRK) is expanding its antibody-drug conjugate (ADC) portfolio by paying $4 billion up front for the ex-Japan co-development and commercialization rights to three ADCs from Daiichi Sankyo Co. Ltd. (Tokyo:4568). The ADCs are patritumab deruxtecan (HER3-DXd), for which a BLA submission is planned by the end of March 2024 to treat non-small cell lung cancer (NSCLC); ifinatamab deruxtecan (I-DXd), which is in Phase II to treat extensive-stage small cell lung cancer (SCLC); and raludotatug deruxtecan (R-DXd), which is in Phase I to treat advanced ovarian cancer.
The three ADCs were designed using Daiichi’s DXd technology and comprise a mAb tethered to a topoisomerase I inhibitor via a tetrapeptide cleavable linker. In addition to the upfront payment, Daiichi is eligible for two $750 million payments for patritumab deruxtecan and raludotatug deruxtecan, due after 12 and 24 months, respectively, as well as up to an additional $5.5 billion in sales milestones for each ADC. Merck is also developing ADCs in partnership with Sichuan Kelun-Biotech Biopharmaceutical Co. Ltd. (HKEX:6990)...