GenPath and Merck & Co sign oncology deal

24 November 2003

GenPath Pharmaceuticals has signed a collaborative agreement with drugmajor Merck & Co in the field of oncology, under which the former will utilize its proprietary cancer models to identify essential tumor maintenance genes which may provide targets for the development of small-molecule drugs.

Under the terms of the deal, Merck will have an exclusive option to license the worldwide rights to a specific number of targets discovered and validated by GenPath and will be responsible for the development and commercialization of any products arising from the collaboration.

In return, GenPath will receive an upfront payment and annual research funding. Furthermore, the company will be entitled to milestones and royalties based on product sales. The deal could provide GenPath with total payments in excess of $100 million.

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