Merck partners with SciBrunch on $2.13 billion oncology deal

Merck, also known as MSD outside the U.S. and Canada, has entered into a global license agreement with China's SciBrunch Therapeutics for the development of SPR2015, an experimental oral KRAS G12D (ON) inhibitor. The agreement grants Merck exclusive worldwide rights to develop, manufacture, and commercialize the preclinical cancer treatment.

Under the terms of the deal, SciBrunch will receive an upfront payment of $400 million and is eligible for additional milestone payments tied to development and commercialization across multiple indications. The total potential value of the transaction is up to $2.13 billion, according to the announcement.

George Addona, senior vice president of Merck Research Laboratories, highlighted the agreement's role in expanding the company's pipeline of precision targeted therapies. He noted that SPR2015 is a potent inhibitor for one of the most common mutant forms of KRAS found in human cancers.

Tao Hu, founder and CEO of SciBrunch, emphasized the company's commitment to advancing innovative therapies targeting the RAS pathway. He stated that the agreement validates SciBrunch's research platform and underscores the potential of SPR2015 in addressing unmet medical needs in oncology.