• Most Popular
  • Most Shared

UPDATE 1-Merck ends research collaboration deal with SurModics

Wed Sep 17, 2008 5:40pm EDT

Stocks

   

(Recasts; adds details; share movement)

Stocks

Sept 17 (Reuters) - SurModics Inc (SRDX.O) said Merck & Co Inc (MRK.N) will discontinue a June 2007 license and research collaboration agreement, a move that will trigger an additional payment of $9 million to the drug delivery technology company.

Shares of SurModics fell 18 percent to $32 in trading after the bell. They closed at $39.11 Wednesday on Nasdaq.

Merck's decision comes after a strategic review of its business and product development portfolio and is not based on any concerns about the safety or efficacy of SurModics' drug delivery systems, the company said in a statement.

The companies had entered into an agreement in June last year to jointly develop and commercialize SurModics' drug delivery system with triamcinolone acetonide and other products that combine Merck's drug compounds for the treatment of serious retinal diseases.

Under the agreement, SurModics received an upfront licensing fee of $20 million and was eligible to receive up to an additional $288 million in fees and development milestones.

In August of this year, the company said Merck had suspended enrolment in a mid-stage trial for I-vation TA in patients suffering from diabetic macular edema (DME). (Reporting by Anand Basu in Bangalore; Editing by Deepak Kannan)

Stocks


More from Reuters

Joint Terminal Attack Controller SSgt Clinton J. Herbison, a U.S. Airman from the 817 Expeditionary Air Support Operations Squadron (EASOS) takes a break during a night mission near Honaker Miracle camp at the Pesh valley of Kunar Province August 12, 2009. Credit: REUTERS/Carlos Barria

Pictures of the Year

A look at the best photos of 2009.  Slideshow 

    PICTURES
    The Dalai Lama jokes with a nasal spray after being asked his opinion on the swine flu during a press conference after his first lecture in Lausanne, Switzerland, August 4, 2009. REUTERS/ Valentin Flauraud

    What a wacky year it's been...

    Um, what's up the Dalai Lama's nose? "Oddly Enough" editor Bob Basler rounds up the goofiest photos of the year.  Full Article 

    Oddly Enough
    A caution sign is seen next to a stock board at the Australian Securities Exchange (ASX) in Sydney September 5, 2008. REUTERS/Daniel Munoz
    Political Risk in 2010:

    Don't say we didn't warn you

    With the financial crisis (mostly) in the past, U.S. investors are eying a fresh start to the coming year. Here's a look at what speedbumps lie ahead.  Full Article 

    Global Markets