Pharma BD Deal Intelligence
In September 2019 Merck & Co. and Seattle Genetics (later Seagen) entered two strategic oncology collaborations, finalized and announced September 14, 2020. (1) Global co-development and co-commercialization of ladiratuzumab vedotin (LV), Seagen's investigational anti-LIV-1 antibody-drug conjugate, in combination with Keytruda for triple-negative breast cancer and other solid tumors: $600M upfront, a $1.0B Merck equity investment (5.0M shares at $200), and up to $2.6B in milestones ($850M development + $1.75B sales) — a ~$4.2B headline — on a 50:50 cost/profit-share basis. (2) An exclusive license granting Merck commercialization rights to TUKYSA (tucatinib), Seagen's HER2 tyrosine kinase inhibitor, in Asia, the Middle East, Latin America and other regions outside the U.S., Canada and Europe: $125M upfront, up to $65M in milestones, $85M prepaid R&D and tiered royalties. Seagen deprioritized and discontinued LV in 2022, citing a higher efficacy threshold set by newer ADCs; Pfizer subsequently acquired Seagen for ~$43B in 2023.