🔥 Premium AI-powered Stock Picks from InvestingPro Now up to 50% OffCLAIM SALE

Gilead, Merus enter trispecific antibody research pact

EditorEmilio Ghigini
Published 03/06/2024, 09:08 PM
©  Reuters
GILD
-

FOSTER CITY, Calif. - Gilead Sciences, Inc. (NASDAQ:GILD) and Merus N.V. (NASDAQ:MRUS) have announced a collaboration agreement to develop novel cancer therapies using Merus' Triclonics® technology. The partnership will combine Gilead's oncology expertise with Merus' proprietary platform to research and develop trispecific antibodies targeting dual tumor-associated antigens.

Under the terms of the agreement, Merus will receive an upfront cash payment of $56 million and a $25 million equity investment from Gilead for initial targets. Additionally, Merus is eligible for up to $1.5 billion in potential payments, including milestones and royalties, if Gilead successfully commercializes a therapy from the collaboration. The agreement also includes an option for a 50/50 profit and loss share on a third potential program, in lieu of future payments.

The research collaboration will see Merus leading early-stage research for two programs, with the option for a third. Gilead retains the right to license programs after select research activities are completed, at which point it would take over further development and commercialization responsibilities.

Dr. Flavius Martin of Gilead expressed enthusiasm for the potential of the Triclonics® platform to create transformative cancer treatments. Dr. Hui Liu of Merus highlighted the collaboration as an opportunity to leverage their research capabilities to address significant unmet medical needs and as the first for their proprietary Triclonics® platform.

The financial impact of the transaction is expected to reduce Gilead's GAAP and non-GAAP 2024 EPS by approximately $0.03 - $0.05. Both companies have made forward-looking statements regarding the collaboration's potential benefits and the development success of the programs.

Merus is known for developing Multiclonics®, innovative full-length human bispecific and trispecific antibodies, while Gilead Sciences is a biopharmaceutical company focused on life-threatening diseases, including HIV, viral hepatitis, COVID-19, and cancer.

This news is based on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.