Merck Concludes Acquisition of investigational B-cell Depletion Therapy

Merck, also recognized as MSD in countries other than the United States and Canada, revealed the finalization of the acquisition of CN201 from Curon Biopharmaceutical (Curon), a new experimental bispecific antibody in clinical development for treating B-cell related illnesses.

“By actively depleting B-cells, CN201 offers applications spanning both B-cell malignancies and autoimmune diseases. We look forward to building upon the foundational work started by the Curon team,” said Dr. Dean Y. Li, president, Merck Research Laboratories.

CN201 is under evaluation in clinical trials of phase 1 and phase 1b/2 for patients with relapsed or refractory non-Hodgkin’s lymphoma (NHL) and relapsed or refractory B-cell acute lymphocytic leukaemia (ALL). Initial data indicates that CN201 is effective in individuals with recurring or resistant B-cell blood cancers and is well received, possibly resulting in notable and lasting decreases in B-cell levels.

In line with the contract, Merck, by way of a subsidiary, has obtained complete worldwide ownership of CN201. As mentioned before, the transaction is being treated as an acquisition of assets. Merck will report a pre-tax charge of around $750 million in the third quarter, representing the upfront payment and other associated costs, equivalent to about $0.28 per share. This charge was not part of Merck's financial forecast for the full year released on July 30. As part of its policy, Merck gives updates on its financial projections quarterly and will offer a full-year financial outlook update during the announcement of its third-quarter 2024 results on October 31st.

CN201 is a recently developed bispecific antibody that targets CD3 and CD19 to direct T cells to eliminate B cells. CN201 is currently undergoing assessment in phase 1 and phase 1b/2 clinical trials for the management of relapsed or refractory non-Hodgkin’s lymphoma and relapsed or refractory acute lymphocytic leukaemia.