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Genmab's acquisition of Merus for $8 billion enhances its oncology portfolio, promising growth and innovative therapies like Petosemtamab for cancer treatment.
Genmab is aiming to expand its late-stage pipeline and accelerate to a wholly owned model.
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Genmab announced it has entered into a transaction agreement with Merus and intends to acquire all of its shares for $97-per-share in cash, representing an estimated total deal value of $8 billion. The transaction received unanimous approval from both company’s board of directors, with Genmab conducting a tender offer for all of Merus’ common shares. The deal is expected to close by the first quarter of 2026.
“The proposed acquisition of Merus clearly aligns with our long-term strategy. It has the potential to significantly accelerate our evolution into a global biotechnology leader by providing durable growth for the company well into the next decade,” said Jan van de Winkel, PhD, president and chief executive officer of Genmab. “Petosemtamab has the potential to be a transformational therapy for patients living with head and neck cancer. With our proven track record of success, both in clinical development and in commercialization, we are confident that we will be able to unlock the promise of Petosemtamab.”
Genmab’s acquisition of Merus is expected to accelerate Genmab’s transition into a wholly-owned model, allowing for expansion and diversification amongst the company’s revenue while also assisting Genmab sustain growth over the next decade. Genmab’s addition of Petosemtamab fits the company’s strategy with its portfolio of therapies, along with aligning with Genmab’s experience in developing antibody therapies and its commercialization in oncology.1 Proceeding the deals completion, Genmab is set to have four proprietary programs anticipated to bolster multiple new drug launches by 2027.1
“We are excited for the opportunity to join Genmab, a leader in antibody therapeutics, to further develop and bring Petosemtamab to patients. Our two companies have a rich history of innovation with multiple approvals in the field of multi-specific antibodies. We believe Genmab has the right vision and experience to advance Petosemtamab in recurrent/metastatic head and neck cancer and beyond,” said Bill Lundberg, M.D., president and chief executive officer of Merus. “I’m immensely proud of the Merus team who have pioneered our foundational platform technologies to make better medicines and who have demonstrated––with an approved product and a product candidate, Petosemtamab, in registrational studies––an ability to deliver on our promise to close in on cancer.”
Petosemtamab is an EGFRxLGR5 bispecific antibody with potential to be both first- and best-in-class for head and neck cancer treatment, and has been granted two Breakthrough Therapy Designations (BTD) by FDA for first- and second-line plus head and neck cancer indications.1 Merus presented data collected during a Phase II clinical study at the American Society for Clinical Oncology (ASCO) 2025 Annual Meeting, displaying Petosemtamab’s overall response rate and median progression free survival, with both results being substantially higher than standard of care.
Currently, Merus is conducting two Phase III trials in first and second/third line head and neck cancer, with topline interim readouts of one or both trials anticipated for 2026.1 Genmab anticipates Petosemtamab’s initial launch to occur in 2027 and is subject to clinical results and regulatory approvals. Genmab is aiming to broaden and accelerate Petosemtamab’s development through its potential for expansion into earlier lines of therapy. Following its initial anticipated approval, Genmab believes Petosemtamab will be accretive to EBITDA with at least $1 billion in annual sales potential by 2029.
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