Merck & Co. Inc. (NYSE:MRK) on Friday agreed to acquire Cidara Therapeutics, Inc. (NASDAQ:CDTX) for $221.50 per share in cash, for a total transaction value of approximately $9.2 billion.
“We continue to execute our science-led business development strategy, augmenting our pipeline with CD388, a potentially first-in-class, long-acting antiviral designed to prevent influenza in individuals at higher risk of complications,” said Robert M. Davis, chairman and chief executive officer, Merck.
Cidara’s lead candidate, CD388, consists of a small molecule neuraminidase inhibitor stably conjugated to a proprietary Fc fragment of a human antibody designed to prevent influenza A and B.
Also Read: Cidara Therapeutics Analyst Says Lead Influenza Candidate Is ‘Strategically Attractive’
Clinical Progress And Regulatory Designations
CD388 is currently being evaluated in the Phase 3 ANCHOR study among adult and adolescent participants who are at higher risk of developing complications from influenza.
Supported by results from the Phase 2b NAVIGATE study, the U.S. Food and Drug Administration (FDA) granted CD388 Breakthrough Therapy Designation.
The NAVIGATE study met all primary and secondary endpoints associated with preventing symptomatic laboratory-confirmed influenza in healthy unvaccinated adults ages 18 to 64. The FDA previously granted CD388 Fast Track Designation.
“This acquisition expands and complements our respiratory portfolio and pipeline,” said Dr. Dean Y. Li, president, Merck Research Laboratories. “CD388 is a novel late-phase candidate with important strain-agnostic properties being evaluated for the prevention of symptomatic influenza in high-risk individuals.”
Deal Timeline And Competitive Landscape
The transaction is expected to close in the first quarter of 2026 and is expected to be accounted for as an asset acquisition.
During its third-quarter earnings call, a Merck executive stated that the company continues to focus on a potential deal size of $1 billion to $15 billion and is willing to go larger.
In June, Moderna, Inc. (NASDAQ:MRNA) revealed results from a Phase 3 efficacy study (P304) evaluating the relative vaccine efficacy (rVE) against influenza illness of mRNA-1010, the company’s seasonal influenza (flu) vaccine candidate, compared to a licensed standard-dose seasonal influenza vaccine in adults aged 50 years and older.
mRNA-1010 achieved the most stringent superiority criterion prespecified in the protocol, with an rVE of 26.6% in the overall study population.
Price Action: CDTX stock was trading higher by 104.97% to $217.25 premarket at last check Friday. MRK was down 1.38%
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