Genmab and Merus have announced that they have entered into a transaction agreement pursuant to which Genmab intends to acquire all the shares of Merus for approximately $8bn.
The transaction has been unanimously approved by the Boards of Directors of both companies and is anticipated to close by early in the first quarter of 2026.
The proposed acquisition of Merus is expected to accelerate Genmab’s shift to a wholly owned model, expanding and diversifying the company’s revenue.
The addition of petosemtamab, Merus’ lead asset, to Genmab’s promising late-stage pipeline is a strategic fit with Genmab’s portfolio and aligns with Genmab’s expertise in antibody therapy development and commercialisation in oncology.
Petosemtamab, which is in Phase III development, is an EGFRxLGR5 bispecific antibody with the potential to be both first- and best-in-class in head and neck cancer.
It has been granted two Breakthrough Therapy Designations (BTD) by the US Food and Drug Administration (FDA) for first- and second-line plus head and neck cancer indications.
Following the closing of the transaction, Genmab will have four proprietary programmes expected to drive multiple new drug launches by 2027.
"The proposed acquisition of Merus clearly aligns with our long-term strategy."
"It has the potential to significantly accelerate our evolution into a global biotechnology leader by providing durable growth for the company well into the next decade,” said Jan van de Winkel, President and Chief Executive Officer of Genmab.
"Petosemtamab has the potential to be a transformational therapy for patients living with head and neck cancer."
"With our proven track record of success, both in clinical development and in commercialisation, we are confident that we will be able to unlock the promise of petosemtamab.”
Bill Lundberg, President and Chief Executive Officer of Merus, said: "We are excited for the opportunity to join Genmab, a leader in antibody therapeutics, to further develop and bring petosemtamab to patients."
"Our two companies have a rich history of innovation with multiple approvals in the field of multispecific antibodies. We believe Genmab has the right vision and experience to advance petosemtamab in recurrent/metastatic head and neck cancer and beyond."
"I’m immensely proud of the Merus team, who have pioneered our foundational platform technologies to make better medicines and who have demonstrated — with an approved product and a product candidate, petosemtamab, in registrational studies — an ability to deliver on our promise to close in on cancer."