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Gilead, Merus enter trispecific antibody research pact

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

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.

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