Karo Bio dips as Merck halts trials

Development of the compound was discontinued due to what the companies have described as “adverse findings” in on-going animal studies. Although this development program has been discontinued, Merck will continue to study a back-up compound in preclinical testing and other estrogen receptor compounds arising from the Karo Bio and Merck collaboration continue to be evaluated.

The collaboration with Merck was initiated in November 1997 with the objective of developing new treatments in the field of estrogen receptors, which is particularly relevant in women’s healthcare.

The collaboration is based on the discovery of the estrogen receptor beta, which offers the potential for the development of selective drugs that can target either the alpha-receptor or the beta-receptor. Such selective compounds may have the potential to address unmet clinical needs.

In January 2005, Karo Bio announced a significant milestone payment received from Merck for the initiation of clinical trials on the most advanced compound. It is this compound that has now been discontinued.

Although Merck’s decision is a blow to Karo Bio, the company has made progress in other areas recently, including filing a clinical trials application to begin clinical trials of its obesity compound, KB2115.