Dr. Jan van de Winkel, Genmab’s president and CEO, didn’t mince words:
“This acquisition aligns seamlessly with our long-term vision. It has the power to propel Genmab into a new era as a global biotechnology leader, fueling durable growth well into the next decade.”
Petosemtamab: The Crown Jewel
At the center of the deal lies petosemtamab, Merus’ flagship therapy—a late-stage EGFRxLGR5 bispecific antibody for head and neck cancer. Currently in Phase 3 trials, the drug has already earned two breakthrough therapy designations from the U.S. Food and Drug Administration.
Van de Winkel called the asset “transformational,” stressing Genmab’s confidence in its ability to unlock the therapy’s promise for patients while leveraging its proven commercialization track record. If all goes to plan, Genmab projects an initial launch by 2027, pending clinical trial outcomes and regulatory green lights.
Financing and Market Reaction
To bankroll the megadeal, Genmab will lean on existing cash and secure about $5.5 billion in nonconvertible debt through Morgan Stanley Senior Funding Inc. Investors cheered the move, sending Merus stock soaring nearly 36% Monday, while the purchase price reflected a 41% premium over Friday’s close of $68.89, and a 44% premium over its 30-day weighted average.
Merus CEO Sees Bright Future
For Merus, the acquisition is both validation and opportunity. Dr. Bill Lundberg, president and CEO, said:
“We are thrilled to join Genmab, a pioneer in antibody therapeutics. Together, we will advance petosemtamab for patients battling head and neck cancer and beyond.”
