US-based Merck has signed an agreement to acquire Israel-based biopharmaceutical firm cCAM Biotherapeutics for around $605m.
As part of the deal, Merck, through its subsidiary, will purchase all outstanding stock of cCAM for $95m. The deal will also allow cCAM shareholders to receive up to $510m based on the attainment of certain clinical development, regulatory and commercial milestones.
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Merck Research Laboratories president Dr Roger Perlmutter said: "We continue to strengthen our portfolio of immunotherapeutic candidates through strategic collaborations and acquisitions.
"The acquisition of cCAM supports our objective to advance the care of patients with cancer by stimulating tumour-directed immune responses."
cCAM includes several early immunotherapy candidates, including the novel monoclonal antibody (mAb) CM-24.
CM-24 has been designed to target the immune checkpoint protein CEACAM1 and is currently being assessed in a Phase I study to treat advanced or recurrent malignancies, comprising melanoma, non-small-cell lung, bladder, gastric, colorectal, and ovarian cancers.
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By GlobalDataUnder the deal, cCAM as the wholly owned subsidiary of Merck, will advance the development of CM-24 in its ongoing Phase I clinical trial.
According to Merck, preclinical studies demonstrated that CM-24 enhances the cytotoxic activity of tumour-infiltrating lymphocytes (TILs) against various CEACAM1-positive tumour cell lines.
cCAM Biotherapeutics chairman Dr Pini Orbach said: "Merck’s excellence and leadership in immuno-oncology provides a strong foundation for advancing CM-24, for the treatment of people with cancer."
The deal is subject to certain closing conditions, said Merck.
