UB start-up Abceutics acquired by Merck

US pharma giant Merck & Co (NYSE: MRK) is making another foray into the antibody-drug conjugates (ADCs) space, with the acquisition of Abceutics, a start-up pre-clinical-stage biopharmaceutical company that was spun out of the laboratory of University at Buffalo researcher Joseph Balthasar.

Merck acquired Abceutics for a potential consideration of up to $208 million, including contingent milestone payments based upon the progress of candidates under the agreement.

Dr Balthasar, the David and Jane Chu Endowed Chair in Drug Discovery and Development in the Department of Pharmaceutical Sciences, launched the start-up in 2020. The company’s core technology was licensed from the University at Buffalo. The technology has been developed through grants from the National Institutes of Health, as well as $110,000 from the Buffalo Innovation Accelerator Fund, which is operated by UB’s Business and Entrepreneur Partnerships office.