Merck & Co in-licenses portfolio targeting HCMV from AiCuris for up to $570 million

US pharma giant Merck & Co (NYSE: MRK) has entered into an exclusive worldwide licensing agreement with Germany’s AiCuris (a 2006 spin-out from Bayer Healthcare) for its novel portfolio of investigational medicines targeting human cytomegalovirus (HCMV), including letermovir, an oral, late-stage antiviral candidate being investigated for the treatment and prevention of HCMV infection in transplant recipients, potentially worth more than 440 million euros ($570.5 million) to the German company.

"There is a significant need for additional medicines for the treatment of HCMV infection, which is one of the most common viral infections affecting organ and bone marrow transplant patients," said Roger Pomerantz, senior vice president, worldwide licensing and knowledge management, and infectious disease franchise head at Merck Research Laboratories. "AiCuris has built a leading portfolio of innovative antiviral HCMV candidates that are designed to address novel targets and offer the potential for HCMV prophylaxis. This portfolio complements Merck's broad antiviral portfolio," he noted.

Under the deal, Merck, through a subsidiary, will gain worldwide rights to develop and commercialize candidates in AiCuris' HCMV portfolio. AiCuris will receive a 110 million euros upfront payment and is eligible for milestones of up to 332.5 million euros based on successful achievement of development, regulatory and commercialization goals for HCMV candidates, including letermovir, an additional back-up candidate as well as other Phase I candidates designed to act via an alternate mechanism.