Merck & Co and Alnylam sign deal

US firms Merck & Co and Alnylam Pharmaceuticals have entered into amulti-year agreement to develop and commercialize RNAi therapeutics for ocular diseases. The collaboration will focus on age-related macular degeneration and other ocular disorders caused by abnormal growth or leakage of small blood vessels in the eye, noted the companies.

Under the terms of the accord, Merck will pay Alnylam an initial cash payment, as well as future milestones; cash payments to the latter could total $19.5 million. Furthermore, the two companies will jointly fund the development, and share profits from, any RNAi therapeutics for the US market that arise from the alliance. Alnylam will also have an option to co-promote these products in the USA, whilst commercialization outside this territory will be conducted by Merck, with Alnylam receiving royalties.

This is the second collaboration between the two parties. In September 2003, the companies entered a deal to advance RNAi technology and to use it to develop therapeutics.