Abide Therapeutics and Merck, referred to as MSD outside the US and Canada, have collaborated to develop new therapies for type 2 diabetes and metabolic diseases.
The collaboration will focus on the discovery, development and commercialisation of small-molecule therapies directed against three novel targets to treat metabolic diseases specially type 2 diabetes.
Abide Therapeutics president and CEO Alan Ezekowitz said, "We are eager to validate unique targets that we hope will lead to the development of novel therapeutics that will benefit patients with diabetes and metabolic diseases."
According to the deal, Abide will earn an upfront payment, research funding, and potential milestone payments valued at $430m for three products.
Merck has global commercialization rights to products resulting from the collaboration and Abide is eligible for sales-based royalties from any such products.
Merck Research Laboratories diabetes and metabolism senior vice president and franchise head Nancy Thornberry said, "We look forward to working with Abide on the discovery and development of important new medicines."
Additional financial details of the deal are not revealed.
