Merck announced that it has entered into a strategic research and development funding agreement with Blackstone Life Sciences for sacituzumab tirumotecan (sac-TMT), an investigational antibody-drug conjugate (ADC) targeting TROP2, a protein commonly found on the surface of cancer cells.
Under the terms of the agreement, Blackstone will provide $700 million in non-refundable funding, subject to termination provisions, to support a portion of the development costs expected through 2026. In exchange, Blackstone will be eligible to receive low-to-mid single-digit royalties on net sales of sac-TMT across all approved indications in Merck’s marketing territories, contingent upon regulatory approval in the U.S. for first-line treatment of triple-negative breast cancer based on results from the TroFuse-011 clinical trial.
Sac-TMT is currently being evaluated by Merck in 15 global Phase 3 clinical trials spanning six tumor types, including breast, endometrial, and lung cancers. The company stated that the collaboration enables it to accelerate the development of sac-TMT while continuing to advance its broader oncology and pharmaceutical pipeline.
The agreement follows Merck’s ongoing collaboration with Sichuan Kelun-Biotech Biopharmaceutical Co., Ltd., a subsidiary of Sichuan Kelun Pharmaceutical Co., Ltd., which remains unchanged by the new partnership. Merck will retain complete control and decision-making authority over the development, manufacturing, and commercialization of sac-TMT, while Blackstone will not obtain any ownership or development rights to the compound.
Sac-TMT is composed of three key components: a TROP2-targeting monoclonal antibody (sacituzumab), a cytotoxic payload derived from the topoisomerase I inhibitor class, and a novel, irreversible, yet hydrolyzable linker that connects the antibody and payload using proprietary linker conjugation technology. The therapy’s drug-to-antibody ratio averages 7.4, and it is designed to deliver targeted cytotoxic effects to TROP2-expressing tumor cells, which have been shown to promote proliferation, invasion, and metastasis in various epithelial-derived tumors.
KEY QUOTES:
“This agreement positions Merck to harness the potential of sac-TMT, a promising ADC candidate targeting TROP2, while we continue to advance our broad and expansive pipeline. We are making important investments to drive patient impact and revenue growth, and to sustain our business for the future while remaining disciplined towards maintaining an appropriate financial profile.”
Caroline Litchfield, Chief Financial Officer, Merck
“Sac-TMT is an innovative asset that has the potential to improve patient care across many forms of cancer. We are excited to be collaborating with Merck to realize the full value of this high priority product and contribute to our partner’s revenue growth by leveraging our scale capital and expertise.”
Dr. Nicholas Galakatos, Global Head, Blackstone Life Sciences
