Merck to buy drug targeting B-cell diseases for up to $1.3bn

(Sharecast News) - Merck said on Friday that it has agreed to buy biotech firm Curon's CN201, a novel investigational clinical-stage bispecific antibody for the treatment of B-cell associated diseases, for up to $1.3bn. Under the terms of the deal, Merck will buy full global rights to CN201 for an upfront cash payment of $700m. Curon is also eligible to receive up to $600m in milestone payments associated with the development and regulatory approval of CN201.

Dr. Dean Y. Li, president of Merck Research Laboratories, said: "We continue to identify opportunities to expand and diversify our pipeline.

"Early clinical data have provided robust evidence for the potential of CN201 to target and deplete circulating and tissue B cells with the potential to treat a range of malignant and autoimmune diseases."

CN201 is currently being evaluated in Phase 1 and Phase 1b/2 clinical trials for the treatment of patients with relapsed or refractory non-Hodgkin's lymphoma (NHL) and relapsed or refractory B-cell acute lymphocytic leukemia (ALL), respectively.

Merck said preliminary data suggest CN201 has activity in patients with relapsed or refractory B-cell hematologic malignancies and is well tolerated, with the potential to induce significant and sustained reductions in B-cell populations.

Merck plans to evaluate CN201 as a treatment for B-cell malignancies as well as investigate its potential to provide a novel, scalable option for the treatment of autoimmune diseases.