All of the drug candidates under the deal were discontinued or de-prioritized in clinical trials for reasons other than safety, the company said. The agreement provides for payment to Gene Logic of success-based milestones and royalties similar to those paid for development-stage in-licensing deals, discounted to account for Merck Serono’s contribution as the originator of the compound.
The agreement also provides Gene Logic the option to receive an exclusive license to any drug candidate for which Gene Logic identifies a new potential therapeutic use that Merck Serono chooses not to develop. If Gene Logic elects to obtain such a license, Merck Serono would be entitled to receive success-based milestone and royalty payments.