ObsEva gets funding and makes deal with Merck Serono

Geneva, Switzerland-based ObsEva says that it has closed a 32 million Swiss franc ($34.8 million) -A financing round, led by Sofinnova Partners and co-led by Sofinnova Ventures and Novo A/S.

Concurrently, ObsEva signed a licensing agreement with Germany’s Merck KGaA’s (MRK: DE) biotech unit, under which Merck Serono will grant ObsEva worldwide development and commercialization rights to certain of its compounds in the field of preterm labor. The details of the agreement are not being disclosed. The funding will allow ObsEva to undertake the development of these compounds.

As part of the deal, MS Ventures, the corporate venture capital fund of Merck Serono, has taken a minority equity stake in the company.