Merck Strikes $50 Million Deal with ModeX For Rights to EBV Vaccine

Jumping into the cancer vaccine arena, Merck and Co. laid down $50 million in an exclusive global licensing and collaboration agreement with ModeX Therapeutics for its vaccine candidate targeting Epstein-Barr Virus (EBV), MDX-2201. The preclinical nanoparticle vaccine could make ModeX significant commercial and development milestones in the future and royalties on future sales. 

The Unmet Clinical Needs of EBV

One of the most common human viruses, EBV is part of the herpes virus family and affects most people at some point in their lives. Though often asymptomatic, EBV can cause infectious mononucleosis, commonly referred to as mono, which is associated with fever and fatigue and is associated with a host of other illnesses. 

Apart from mono and its associated illnesses, EBV is a cause for concern worldwide due to its links to cancer. Because EBV can carry on in the B cell system, EBV can cause several B cell-related cancers, particularly lymphatic cancers like Hodgkin Lymphoma and Diffuse Large B cell Lymphoma. 

ModeX is designing MDX-2201 to inhibit infection in B cells and epithelial cells, which could qualify the vaccine candidate as a cancer vaccine, putting it in direct competition with Moderna’s cancer vaccine programs. With substantial potential in the cancer space, it is no wonder why Merck is investing heavily in the program early on. 

Tarit Mukhopadhyay, Ph.D., Vice President, Infectious Diseases and Vaccine Discovery, Merck Research Laboratories, said, “We look forward to working with the ModeX Therapeutics team to apply our experience and expertise to evaluate the potential of MDX-2201 to help protect against EBV infection and other, potentially related, conditions.”

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The Terms of the Deal

In addition to the $50 million upfront payment, ModeX, a subsidiary of OPKO Health, is eligible to earn up to $872.5 million in commercial and development milestone payments. The company could also earn royalties on global sales upon commercialization. 

The two companies plan to jointly file MDX-2201’s Investigational New Drug Application (IND), after which Merck will conduct clinical and regulatory activities, including potential commercialization. Representatives from both companies will guide pre-IND actions. 

Chairman and CEO of OPKO, Phillip Frost, M.D., said, “Merck represents the ideal partner to develop and commercialize a new vaccine candidate, and we are particularly proud to enter into this high-potential agreement so soon after completing the ModeX transaction last May.”

With Merck’s backing, ModeX’s MDX-2201 is a serious contender in the EBV and potential cancer vaccine space, putting some pressure on Moderna, which is growing its presence in the arena. The $50 million will go to good use in ModeX’s hands which hopes to develop a therapy where there is no FDA-approved option to treat or prevent EBV. 

Author

Reed Slater