Merck spends up to $2B to license new weight loss drug with potential heart benefits
Merck has acquired the exclusive rights to develop, manufacture and commercialize a new investigational GLP-1 receptor agonist from Hansoh Pharma, a Chinese biopharmaceutical company, for an upfront payment of $112 million. The deal could go on to include up to $1.9 billion in additional payments based on whether or not certain developmental and regulatory milestones are met.
“We continue to leverage science-driven business development to augment and complement our robust pipeline,” Dean Y. Li, MD, PhD, president of Merck Research Laboratories, said in a statement. “Through this agreement, we aim to build on our experience targeting incretin biology to evaluate HS-10535 and its potential to provide additional cardiometabolic benefits beyond weight reduction.”
“Hansoh Pharma is becoming an emerging leader in metabolic diseases, and we see Merck’s expertise and capabilities as key to accelerating the development of this promising asset for patients worldwide,” added Eliza Sun, executive director of the board for Hansoh Pharma.
One exception to this agreement is the fact that Hansoh Pharma has retained the ability to co-promote or solely commercialize this drug in China, “subject to certain conditions.”
GLP-1 receptor agonists continue to make an impact
The drug in question, HS-10535, is a preclinical oral small molecule GLP-1 receptor agonist. Glucagon-like peptide-1 (GLP-1), is an incretin hormone that stimulates insulin secretion and slows gastric emptying. GLP-1 receptor agonists such as semaglutide, which Novo Nordisk sells under the brand names Wegovy and Ozempic, have been one of healthcare’s biggest stories in recent years. While they were originally developed to treat diabetes, they have been used more and more to help obese and overweight patients lose weight. They have even been linked to multiple cardiovascular benefits if taken appropriately.
These drugs work by mimicking a hormone in the intestines that stimulates the release of insulin and reduces blood glucose after the patient has eaten a meal. GLP-1 receptor agonists also help slow down food as it travels down the digestive tract, making users feel “full” for longer periods of time.
Michael has more than 18 years of experience as a professional writer and editor. He has written at length about cardiology, radiology, artificial intelligence and other key healthcare topics.