Merrimack, Baxter Ink $970M+ Deal for Pancreatic Cancer Drug
Summary
On one hand, the Cambridge, MA-based company succeeded in a Phase 3 trial in the notoriously tough field of pancreatic cancer, and has a chance to win FDA approval for its first drug, MM-398.On the other hand, Merrimack lost Sanofi as a partner for a second drug prospect (MM-121) on the cusp of late-stage testing, meaning it’ll have to foot a big bill to take the candidate forward, or find someone else to do so.Through the deal, Baxter is getting a hold of a drug that scored mixed, but ultimately positive results in a Phase 3 test for pancreatic cancer.Merrimack CEO Bob Mulroy told Xconomy previously that about half of pancreatic cancer patients are eligible to move on to some sort of second-line therapy, and this is where the company wants MM-398 to initially break in.The Baxter partnership is a boon for the company following Sanofi’s decision to give it back worldwide rights to MM-121 in June.