Merck Secures $3.3B Deal to Bolster Keytruda Against Rising Competition
Merck has announced a $3.3 billion licensing deal with China's LaNova Medicines for a cancer drug, LM-299, as a strategic move against Summit Therapeutics' ivonescimab, which recently outperformed Merck's Keytruda in a lung cancer study. The deal includes a $588 million upfront payment and up to $2.7 billion in milestone payments. Both LaNova's and Summit's drugs target PD-1 and VEGF proteins, potentially offering a competitive edge over Keytruda, which only targets PD-1. This move is seen as Merck's insurance policy to maintain its market share in cancer treatments.