On October 23, Merck & Co., Inc., known as MSD outside the United States and Canada, announced that it acquired Modifi Biosciences for $30 million upfront.
Modifi Biosciences has developed a novel class of small molecules that target cancer cells lacking expression of a key DNA repair protein called O6-methylguanine methyltransferase. It is a Yale University spinout company that was formed in 2021.
Merck is an American multinational pharmaceutical company headquartered in Rahway, New Jersey. The company is focused on the discovery, development, manufacturing and marketing of prescription medicines, biologic therapies, vaccines and animal health products. According to its latest annual report, Merck’s revenue during full year (FY) 2023 was approximately $60.1 billion, and FY 2023 EBITDA was $6.8 billion.
Under the terms of the agreement Merck, through a subsidiary, has acquired all outstanding shares of Modifi Biosciences. Modifi Biosciences shareholders are also eligible to receive potential milestone payments totaling up to $1.3 billion.
This deal represents Merck’s fifth acquisition of 2024. Previously, the company purchased Harpoon Therapeutics for $680 million; Abceutics for an undisclosed price; Eyebiotech Limited for $1.3 billion; and CN201 for $700 million.
According to data captured in the LevinPro HC database, this acquisition marks the 112th Biotechnology transaction of the year. Throughout all of 2023, 161 Biotechnology acquisitions were reported.
