Merck KGaA strengthens research cooperation with Israel; files for Erbitux indication extension

German drug major Merck KGaA (MRK: DE) has announced the initiation of a Merck Serono Israel Bioincubator Fund, a strategic and corporate initiative targeting Israeli biotechnology start-ups. The fund was announced during a visit by Karl-Ludwig Kley, chairman of the executive board of Merck, in Israel, where he met Shalom Simhon, Minister of Industry, Trade and Labour, and Avi Hasson, Chief Scientist.

The incubator program is designed to accelerate the successful development of entrepreneurial start-up companies and will offer both seed financing and the opportunity of using a dedicated part of Merck Serono’s Israeli R&D center, Interlab, for their own research. Over a seven-year time span, Merck Serono will invest a total of 10 million euros ($14 million). In parallel Merck Chemicals will initiate a program for start-up companies in the area of high-tech and life science materials. Merck Chemicals will allocate as much as 3 million euros within the next three years in this program.

Israeli companies will be selected based on their potential for developing innovative technologies aligned with the company’s strategy, which could enable the discovery and development of new products. Merck’s incubator program encompasses the fields of pharmaceuticals, life sciences and performance materials.