Merck, Orion Enter Global Development Pact for Prostate Cancer Drug

Merck and Orion Corp. entered a global development and commercialization agreement for Orion’s investigational candidate ODM-208 and other drugs targeting cytochrome P450 11A1 (CYP11A1), an enzyme important in steroid production. ODM-208 is an oral, non-steroidal inhibitor of CYP11A1 currently being evaluated in a Phase 2 clinical trial for the treatment of patients with metastatic castration-resistant prostate cancer (mCRPC).
 
Orion and Merck, acting through its subsidiary, Merck Sharp & Dohme LLC, will co-develop and co-commercialize ODM-208. Merck will make an upfront payment to Orion of $290 million. Orion will be responsible for the manufacture of clinical and commercial supply of ODM-208.
 
Both parties have an option to convert the initial co-development and co-commercialization agreement into a global exclusive license to Merck. If exercised, Merck would assume full responsibility for all accrued and future development and commercialization expenses associated with the program. Orion would be eligible to receive milestone payments as well as royalties on sales if the product is approved. 
 
“Targeting CYP11A1 provides a compelling approach to suppressing the production of steroid hormones, a key driver of prostate cancer,” said Dr. Dean Y. Li, president, Merck Research Laboratories. “We believe ODM-208 has the potential to complement our existing program in prostate cancer and look forward to working with the team at Orion.”
 
“We are delighted to enter this collaboration with Merck, which is committed to extend and improve the lives of patients with cancer and has a strong commercial presence globally,” said Timo Lappalainen, president and chief executive officer, Orion. “This agreement positions Orion to harness the potential of ODM-208 for the good of patients while continuing to invest in our other programs without compromising our financial targets.”