Merck Secures Groundbreaking Immunotherapy Deal

Merck (NYSE: MRK), known as MSD outside the United States and Canada, announced the completion of its exclusive global licensing agreement for LM-299, an investigational PD-1/VEGF bispecific antibody, from LaNova Medicines Ltd. Merck will now oversee the development, manufacturing, and commercialization of LM-299.

Merck will incur a pre-tax charge of $588 million (~$0.18 per share) in its fourth quarter 2024 GAAP and non-GAAP results. LaNova stands to receive up to $2.7 billion in milestone payments tied to technology transfer, development, regulatory approvals, and commercialization. This includes $300 million payable upon the expected completion of the technology transfer in 2025.

LM-299 represents a promising advance in immunotherapy, with potential applications across multiple indications.