Merck, Xenon Enter CV Alliance

Xenon has entered into a strategic alliance with Merck to discover and develop small molecule candidates for the potential treatment of cardiovascular disease.

Xenon will perform validation studies using its clinical genetics platform, as well as drug discovery and select preclinical development of small molecule compounds for targets selected by a joint steering committee. Merck has the option to exclusively license targets and compounds from Xenon for development and commercialization. Xenon will receive research funding and is eligible for option exercise fees, research, development and regulatory milestone payments of as much as $94.5 million for the first target and $89.5 million for each subsequent target selected for drug discovery. Xenon will also receive royalties on sales of any products resulting from the collaboration. Xenon retains the development and commercialization rights for compounds that Merck does not select.

“We are very excited to be collaborating with Merck to define new therapeutics in the area of cardiovascular diseases,” said Simon Pimstone, president and chief executive officer of Xenon. “With this deal, Xenon is continuing its strategy of risk mitigation by select partnering, while retaining ownership of other programs.”