German Merck, Takeda in cancer drug pact
Thu Sep 29, 2005 03:05 AM ET
FRANKFURT, Sept 29 (Reuters) - German drugmaker Merck KGaA (MRCG.DE: Quote, Profile, Research) has signed an agreement with Japan's Takeda Pharmaceutical (4502.T: Quote, Profile, Research) to jointly develop and market cancer drug matuzumab, also called EMD 72000, it said on Thursday.
The drug, which has so far been developed by Merck, is in mid-stage, or Phase II trials, for the treatment of non-small cell lung, gastric and colorectal cancer.
Merck said it would get an up-front payment of 60 million euros ($72 million) from the deal, which would be booked in the third quarter, and would also receive significant milestone payments.
The companies have agreed to split profits from the drug, with Merck booking matuzumab sales from all regions except Japan.
EMD 72000 is among the more important products in Merck's research pipeline, which has experienced some setbacks in the recent past. Merck's pharmaceutical business is also grappling with generic competition for its Glucophage diabetes drug.
Matuzumab is seen as a follow-on product for Erbitux, a drug Merck has licensed from ImClone Systems (IMCL.O: Quote, Profile, Research) that is now on the market.
Merck shares were indicated 0.9 percent higher in premarket in Frankfurt. |
