Key Developments: Merck & Co Inc (MRK.N)
47.16USD
24 May 2013
$-0.17 (-0.36%)
$47.33
$46.98
$47.16
$46.60
3,741,694
4,002,422
$48.78
$37.02
Latest Key Developments (Source: Significant Developments)
Merck & Co Inc Announces $5 Billion Accelerated Share Repurchase
Merck & Co Inc announced that it has entered into an accelerated share repurchase agreement (ASR) with Goldman, Sachs & Co. to repurchase $5 billion of Merck`s common stock. Proceeds from the Company`s recently concluded debt offering were used to execute the ASR, which is part of Merck`s previously announced $15 billion share repurchase program. Under the terms of the ASR, Merck has agreed to repurchase $5 billion of its common stock from Goldman, Sachs & Co., in total, with an initial delivery of approximately 99.5 million shares based on current market prices. The final number of shares to be repurchased will be based on Merck`s volume-weighted average stock price during the term of the transaction, which is expected to be completed no later than November 25, 2013. Full Article
Merck & Co Inc Prices $ 6.5 Billion Debt Offering
Merck & Co Inc announced that it has priced a $6.5 billion public offering of senior unsecured notes. The notes include: $1,000 million of 0.70% notes due May 2016 $500 million of floating rate notes due May 2016 $1,000 million of 1.30% notes due May 2018 $1,000 million of floating rate notes due May 2018 $1,750 million of 2.80% notes due May 2023 $1,250 million of 4.15% notes due May 2043 Proceeds from the notes will be used to repurchase common stock and any remaining proceeds will be used for general corporate purposes, including without limitation the repayment of outstanding commercial paper borrowings and upcoming debt maturities. The offering is expected to close on May 20, 2013, subject to customary closing conditions. BNP Paribas Securities Corp., Deutsche Bank Securities Inc., J. P. Morgan Securities LLC and Morgan Stanley & Co. LLC are acting as active joint book-running managers for the offering. Full Article
Merck & Co Inc Sales Rep Claims Sexual Bias, Seeks Over $100 Million-Reuters
Reuters reported that Merck & Co Inc's sales representative has filed a more than $100 million sex discrimination lawsuit against the drugmaker, claiming that it particularly discriminates against pregnant employees and women with children. The plaintiff, Kelli Smith, in a lawsuit filed in U.S. District Court in New Jersey, claims she was demoted for taking maternity leave in 2010, and penalized by unfair performance evaluations and other actions that stalled her career and hurt her reputation. Smith is described in the lawsuit as a senior sales rep in Merck's Toms River, New Jersey, district, who has been a top performer in terms of sales. Merck officials could not be reached immediately for comment. Full Article
Sanford Heisler LLP Files $100m+ Discrimination Suit Against Merck & Co Inc
Sanford Heisler LLP announced that it filed a $100 million individual and class action suit in the U.S. District Court for New Jersey gainst Merck & Co., Inc. The action was brought by Kelli Smith on behalf of all female sales representatives at Merck. The complaint asserts that the Company systematically discriminates against its female and pregnant employees in assignment, promotion, advancement, and pay and retaliates against female employees in violation of Title VII of the US Civil Rights Act, the Lilly Ledbetter Fair Pay Act, the Family and Medical Leave Act and the New Jersey Law Against Discrimination. Other members of Ms. Smith's legal team include Kate Mueting, an associate in Washington, D.C, and Deborah Marcuse, a Senior Litigation Counsel in New York. Sanford Heisler LLP has a long record of victories in employment discrimination matters brought by female employees of global pharmaceutical companies, including a recent case against Novartis that resulted in the ever monetary award in a U.S. employment discrimination case. Ms. Smith's suit details a widespread pattern of employment discrimination. Merck discourages management from hiring and promoting women, attempts to force pregnant women to leave the Company so their managers' compensation will not be affected, and structures compensation so that managers and colleagues of pregnant women get paid less because they work with women who take maternity leave. Full Article
Merck & Co Inc Lowers FY 2013 Guidance
Merck & Co Inc announced it expects fiscal 2013 non-GAAP EPS to be between $3.45 and $3.55, and fiscal 2013 GAAP EPS to be between $1.92 and $2.16. The fiscal 2013 non-GAAP range excludes acquisition-related costs, costs related to restructuring programs and certain other items. The Company updated its full-year guidance due to pressures on sales that are greater than previously anticipated, including foreign exchange, as well as new R&D programs and a revised tax rate. At current exchange rates, Merck now expects fiscal 2013 sales to be approximately 3% to 4% below prior year levels with foreign exchange accounting for more than 2% points of the decline. The Company reported revenue of $47.267 billion in fiscal 2012. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $3.62 and revenue of $46.192 billion for fiscal 2013. Full Article
Merck & Co Inc Announces New $15 Billion Share Repurchase Program
Merck & Co Inc announced that its Board of Directors has authorized additional purchases of up to $15 billion of Merck`s common stock for its treasury. The Company expects to repurchase approximately $7.5 billion of common stock over the next 12 months, financed through a combination of debt issuance and operating cash flows, with the remainder to be repurchased over time with no time limit. Purchases may be made in open-market transactions, block transactions on or off an exchange, or in privately negotiated transactions. Full Article
Merck & Co Inc And Pfizer Inc Enter Worldwide Collaboration Agreement To Develop and Commercialize Ertugliflozin, an Investigational Medicine For Type 2 Diabetes
Merck & Co Inc and Pfizer Inc announced that they have entered into a worldwide (except Japan) collaboration agreement for the development and commercialization of Pfizer`s ertugliflozin (PF-04971729), an investigational oral sodium glucose cotransporter (SGLT2) inhibitor being evaluated for the treatment of type 2 diabetes. Ertugliflozin is Phase III ready, with trials expected to begin later in 2013. Under the terms of the agreement, Merck, through a subsidiary, and Pfizer will collaborate on the clinical development and commercialization of ertugliflozin and ertugliflozin-containing fixed-dose combinations with metformin and JANUVIA (sitagliptin) tablets. Merck will continue to retain the rights to its existing portfolio of sitagliptin-containing products. Pfizer has received an upfront payment and milestones of $60 million and will be eligible for additional payments associated with the achievement of pre-specified future clinical, regulatory and commercial milestones. Merck and Pfizer will share potential revenues and certain costs on a 60/40% basis. JANUVIA is indicated as an adjunct to diet and exercise to improve glycemic control in adults with type 2 diabetes mellitus. Full Article
Merck & Co Inc Announces FDA Acceptance Of New Drug Application For Investigational Tablet Formulation Of Antifungal Noxafil
Merck & Co Inc announced that its New Drug Application for an investigational, tablet formulation of the Company's antifungal agent, NOXAFIL (posaconazole), has been accepted for review by the U.S. Food and Drug Administration (FDA). Merck is seeking FDA approval of NOXAFIL tablets for once-daily administration (following a twice-a-day loading dose on the first day of therapy). The Company has filed a marketing authorization application for NOXAFIL tablets with the European Medicines Agency (EMA) and plans to seek regulatory approval for the tablet formulation in other countries around the world. NOXAFIL is contraindicated in persons with known hypersensitivity to posaconazole, any component of NOXAFIL, or other azole antifungal agents. NOXAFIL is contraindicated with sirolimus. Concomitant administration of NOXAFIL with sirolimus increases the sirolimus blood concentrations by approximately 9-fold and can result in sirolimus toxicity. NOXAFIL is contraindicated with the CYP3A4 substrates that prolong the QT interval. Concomitant administration of NOXAFIL with the CYP3A4 substrates pimozide and quinidine may result in increased plasma concentrations of these drugs, to QTc prolongation and rare occurrences of torsades de pointes. NOXAFIL is contraindicated with HMG-CoA reductase inhibitors that are primarily metabolized through CYP3A4 (e.g., atorvastatin, lovastatin, and simvastatin) as increased plasma concentration of these drugs can lead to rhabdomyolysis. Full Article
Merck & Co Inc Announces FDA Acceptance of Biologics License Application for Investigational Grass Pollen Allergy Immunotherapy Tablet
Merck & Co Inc announced that the Biologics License Application (BLA) for its investigational Timothy grass pollen (Phleum pratense) allergy immunotherapy tablet (AIT) has been accepted for review by the U.S. Food and Drug Administration (FDA). In March, the company also submitted a BLA to the FDA for its investigational ragweed pollen (Ambrosia artemisiifolia) AIT. The BLA for Merck`s grass pollen AIT is supported by Phase III trials that evaluated the safety and efficacy of the investigational product, including a long-term, multi-season trial. Merck's grass pollen (Phleum pratense) AIT is an investigational sublingual dissolvable tablet designed to help treat the underlying cause of allergic rhinitis by generating an immune response to help protect against targeted allergens. Merck has partnered with ALK-Abello to develop its grass pollen (Phleum pratense) AIT in North America. Full Article
Merck & Co Inc And Luminex Corporation Enter Agreement To Develop Companion Diagnostic To Support Investigational BACE Inhibitor Clinical Development Program For Alzheimer’s Disease
Merck & Co Inc and Luminex Corporation announced that it has signed a collaboration and license agreement to develop a companion diagnostic device that will be evaluated to help screen patients for recruitment into Merck's clinical development program for MK-8931, a oral beta amyloid precursor protein site cleaving enzyme (BACE) inhibitor and Merck's lead investigational candidate for Alzheimer's disease (AD). Financial terms were not disclosed. Luminex will be responsible for development, regulatory submission and commercialization of the candidate companion diagnostic device, which will employ Luminex`s xMAP Technology to measure concentrations of two candidate biomarkers (Aβ42 and t-tau) in cerebrospinal fluid (CSF) samples from patients with mild cognitive impairment (MCI). The candidate device will be evaluated as a means to identify subjects with MCI who have a higher risk of developing AD to support patient selection for Merck`s therapeutic BACE inhibitor clinical program. Full Article
Merck halts development of experimental Parkinson's drug
May 23 - Merck & Co has ended development of preladenant, an experimental drug for Parkinson's disease, after initial data from three late-stage trials proved disappointing.
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