Sotatercept is a fusion protein commercialized by Merck, with a leading Pre-Registration program in Pulmonary Arterial Hypertension. According to Globaldata, it is involved in 23 clinical trials, of which 11 were completed, 7 are ongoing, and 5 were terminated. GlobalData uses proprietary data and analytics to provide a complete picture of Sotatercept’s valuation in its risk-adjusted NPV model (rNPV). Buy the model here.

The revenue for Sotatercept is expected to reach an annual total of $3.46 bn by 2036 in the US based off GlobalData’s Expiry Model. The drug’s revenue forecasts along with estimated costs are used to measure the value of an investment opportunity in that drug, otherwise known as net present value (NPV). Applying the drug’s phase transition success rate to remaining R&D costs and likelihood of approval (LoA) to sales related costs provides a risk-adjusted NPV model (rNPV). The rNPV model is a more conservative valuation measure that accounts for the risk of a drug in clinical development failing to progress.

Sotatercept Overview

Sotatercept (ACE-011) is under development for the treatment of pulmonary arterial hypertension and pulmonary hypertension due to left heart disease. The drug candidate is administered subcutaneously and intravenously. Sotatercept is a dimeric fusion protein containing the extracellular domain of the activin receptor 2A (ACVR2A) fused to the Fc domain of human IgG1. It was also under development for the treatment of chemotherapy induced anemia (CIA), end stage renal disease (ESRD), solid tumor, osteoporosis and renal anemia in patients with chronic kidney disease on hemodialysis, multiple myeloma, metabolic bone disorders,Diamond-Blackfan anemia (inherited erythroblastopenia),  myelodysplastic syndrome and sickle cell disease and anemia in patients with myelofibrosis, beta-thalassemia.

Merck Overview

Merck is a biopharmaceutical company focused on the discovery, development, manufacturing and marketing of prescription medicines, biologic therapies, vaccines, and animal health products. It offers prescription products for therapy areas related to cardiovascular, cancer, immune disorders, infectious, respiratory, and diabetes. The company provides animal health products such as vaccines, poultry products, livestock products and aquaculture products. Merck sells medicines to drug wholesalers, retailers, hospitals, government agencies and managed health care providers; and animal health products to veterinarians, distributors and animal producers. The company and its subsidiaries operate in the Americas, Europe, the Middle East, Africa, Asia Pacific, and Latin America. Merck is known as MSD outside the US and Canada and is headquartered in Kenilworth, New Jersey, the US.

The company reported revenues of (US Dollars) US$59,283 million for the fiscal year ended December 2022 (FY2022), an increase of 21.7% over FY2021. In FY2022, the company’s operating margin was 30.3%, compared to an operating margin of 25.7% in FY2021. In FY2022, the company recorded a net margin of 24.5%, compared to a net margin of 26.8% in FY2021. The company reported revenues of US$15,035 million for the second quarter ended June 2023, an increase of 3.8% over the previous quarter.

For a complete picture of Sotatercept’s valuation, buy the drug’s risk-adjusted NPV model (rNPV) here.

This content was updated on 2 September 2023

Premium Insights


The gold standard of business intelligence.

Blending expert knowledge with cutting-edge technology, GlobalData’s unrivalled proprietary data will enable you to decode what’s happening in your market. You can make better informed decisions and gain a future-proof advantage over your competitors.


GlobalData, the leading provider of industry intelligence, provided the underlying data, research, and analysis used to produce this article.

To create this model, GlobalData takes into account factors including patent law, known and projected regulatory approval processes, cash flows, drug margins and company expenses. Combining these data points with GlobalData’s world class analysis creates high value models that companies can use to help in evaluation processes for each drug or company.

The rNPV method integrates the probability of a drug reaching a clinical stage into the cash flow at that time, which provides a more accurate valuation, as it considers the probability that the drug never makes it through the clinical pathway to commercialization. GlobalData’s rNPV model uses proprietary likelihood of approval (LoA) and phase transition success rate (PTSR) data for the indication in the highest development stage, which can be found on GlobalData’s Pharmaceutical Intelligence Center.