ADVINUS THERAPEUTICS TO COLLABORATE WITH MERCK ON R&D

Indian pharmaceutical company Advinus Therapeutics and Merck have announced they have formed a drug discovery and clinical development collaboration in the area of metabolic disorders. Advinus could receive up to $150 million.

The companies will work together to develop clinically validated drug candidates for metabolic disorders, with Merck retaining the right to advance the most promising of these candidates into late-stage clinical trials. Under the terms of the agreement, Advinus will receive an upfront payment and could potentially receive milestone payments of up to $74.5 million for each target included in the collaboration. Advinus is also eligible for royalties on the sales of any products that result from the collaboration. The collaboration will begin with two target programs and could expand to include others over time.

"Despite the fact that it is a young company, we are proud that Advinus' scientific skill has led to the establishment of this collaboration with Merck," said R. Gopalakrishnan, chairman of Advinus' board.