UPDATE: Merck & Co. has just announced a landmark acquisition of Cidara Therapeutics for approximately $9.2 billion, a strategic move aimed at significantly enhancing its antiviral pipeline. This acquisition is driven by Cidara’s promising Phase III drug, CD388, which is designed to prevent influenza in high-risk individuals.
The acquisition comes on the heels of Cidara’s recent success in its Phase IIb NAVIGATE trial, which demonstrated strong efficacy in preventing symptomatic influenza among healthy adults. CD388 achieved an impressive prevention efficacy (PE) ranging from 57.7% to 76.1% based on dosage, proving its potential to reshape influenza prevention strategies.
Merck’s chairman and CEO, Robert M. Davis, emphasized the strategic importance of the acquisition, stating, “We intend to build on the Cidara team’s remarkable progress and are confident that CD388 has the potential to be another important driver of growth through the next decade.” This acquisition reflects Merck’s commitment to advancing healthcare solutions amidst looming revenue losses from aging blockbuster drugs.
Cidara’s CEO, Jeffrey Stein, PhD, highlighted the significance of this partnership, claiming, “Merck’s global development and commercial capabilities provide the expertise needed to bring this important innovation to those individuals who need it most.” This deal is expected to close in the first quarter of 2026, pending regulatory approvals and stockholder agreements.
The Phase III ANCHOR trial, which commenced in September 2023, aims to enroll 6,000 participants across 150 sites in the U.S. and the U.K. The interim analysis is set for early 2026, allowing for evaluations on the necessity for further enrollments.
In an era where pharmaceutical companies are grappling with patent expirations, Merck’s acquisition of Cidara is a critical step in recouping lost revenue from drugs like Keytruda and Gardasil, which are nearing the end of their patent protections. Merck is actively working to expand its portfolio; just last month, it completed a $10 billion purchase of Verona Pharma.
Investors responded enthusiastically to the news, with Cidara’s shares more than doubling, surging 105% to close at $217.71 on NASDAQ. Merck’s shares remained stable at $92.93 on the New York Stock Exchange.
Through this acquisition, Merck aims to expand its respiratory portfolio, adding CD388 as a potential game-changer in the fight against influenza. As the pharmaceutical landscape continues to evolve, this development marks a significant milestone for both companies and underscores the urgent need for innovative solutions in public health.
Stay tuned for updates as this story develops and as more details on the acquisition and CD388’s progress become available.
