Merck KGaA, Pfizer In Global Immuno-Oncology Alliance

Merck KGaA and Pfizer have entered into a global agreement to co-develop and commercialize Merck’s MSB0010718C, an investigational anti-PD-L1 antibody currently in development as a potential immuno-oncology treatment for multiple tumor types.
 
The asset will be developed as a single agent and in various combinations with Pfizer and Merck’s portfolio of approved and investigational pipeline candidates. The two companies will also combine resources and expertise to advance Pfizer’s anti-PD-1 antibody into Phase I trials. As part of the agreement, Merck will co-promote Pfizer’s XALKORI, a medicine to treat non-small cell lung cancer, in the U.S. and several other key markets.
 
Merck will receive an upfront payment of $850 million and is eligible to receive regulatory and commercial milestones of as much as $ 2.0 billion. Both companies will fund development and commercialization costs and all revenues obtained from anti-PD-L1 or anti-PD-1 product sales will be shared.
 
“Collaborating globally with Pfizer will allow us to benefit from the strengths and capabilities of both companies in immuno-oncology, further accelerating this promising asset in the race to address the needs of cancer patients across multiple tumor types. Up to 20 high priority immuno-oncology clinical development programs are expected to commence in 2015, including pivotal registration studies,” said Belén Garijo, president and chief executive officer of the biopharmaceutical division of Merck KGaA. “On top of that, the global alliance will enable Merck to gain an early entry into the US oncology market as well as to strengthen our existing oncology business in several other important global markets.”
 
“This global alliance enables Pfizer and Merck KGaA, to join forces and combine complementary strengths with the goal of meeting the needs of patients with multiple types of cancer,” said Albert Bourla, group president vaccines, oncology and consumer healthcare businesses, Pfizer. “Immuno-oncology is a top priority for Pfizer. Combining this promising anti-PD-L1 antibody with Pfizer’s extensive portfolio of small molecules and antibodies provides an opportunity to potentially broaden the use of immunotherapy for patients with cancer and rapidly expand our oncology business. In addition, this alliance enables us to significantly accelerate the timeframe of our development programs and move into the first wave of potential immuno-oncology based treatment regimens.”