Merck signs $290m deal with Orion Corporation for mCRPC candidate ODM-208

Merck has signed a global development and commercialization deal worth $290 million with Orion Corporation for the latter’s investigational candidate ODM-208 and other drugs that target cytochrome P450 11A1 (CYP11A1).

ODM-208, which is an oral, non-steroidal inhibitor of CYP11A1, is presently being assessed by the Finnish pharma company in a phase 2 clinical trial for the treatment of metastatic castration-resistant prostate cancer (mCRPC).

Dr. Dean Y. Li — Merck Research Laboratories president said: “Targeting CYP11A1 provides a compelling approach to suppressing the production of steroid hormones, a key driver of prostate cancer.

“We believe ODM-208 has the potential to complement our existing program in prostate cancer and look forward to working with the team at Orion.”

As per the terms of the deal, Orion Corporation and Merck through its subsidiary — Merck Sharp & Dohme LLC, will jointly develop and co-commercialize ODM-208.

Orion Corporation will have the responsibility for manufacturing clinical and commercial supply of the non-steroidal CYP11A1 inhibitor.

Additionally, the agreement gives the two firms an option of converting the initial co-development and co-commercialization deal for the investigational steroid synthesis inhibitor into a worldwide exclusive license to Merck.

If exercised, the option will give full responsibility to Merck for all accrued and future development and commercialization expenses related to the ODM-208 program.

Based on the regulatory approval of ODM-208, Orion Corporation will be entitled to get milestone payments pertaining to the candidate’s progress in the development and commercialization of the investigational steroid synthesis inhibitor along with tiered double-digit royalties on sales.

Timo Lappalainen — Orion Corporation president and CEO said: “We are delighted to enter this collaboration with Merck, which is committed to extend and improve the lives of patients with cancer and has a strong commercial presence globally.

“This agreement positions Orion to harness the potential of ODM-208 for the good of patients while continuing to invest in our other programs without compromising our financial targets.”