PDS Biotech, Merck Germany Enter Licensing Pact For Investigational Cancer Treatment

PDS Biotechnology Corporation PDSB announced an exclusive global license agreement with Merck KGaA MKGAF MKKGY for the tumor-targeting IL-12 fusion protein M9241 (formerly known as NHS-IL12), which will join the pipeline as PDS0301.
Under the terms of the agreement, PDS Biotech will receive from Merck KGaA an exclusive license to M9241.
PDS Biotech will assume responsibility for the future development, commercialization, and manufacturing of M9241.
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Under the terms of the agreement, Merck KGaA will receive an upfront cash payment of $5 million and will be entitled to up to $11 million in development and regulatory milestone payments, including first commercial sales for the first two indications, and up to $105 million in commercial milestones, and a 10% royalty on future sales of M9241 with standard step-down provisions.
Merck KGaA will receive 378,787 shares of PDS Biotech's shares valued at $5 million.
Price Action: PDSB shares are down 12.50% at $11.55 on the last check Tuesday.