Novartis nabs osteoarthritis candidate from Germany's Merck

• Novartis (NVS -1.4%) has in-licensed exclusive global rights to a Phase 2-ready program in osteoarthritis, M6495, from Merck KGaA (OTCPK:MKGAY).
• The candidate, an anti-ADAMTS5 (a disintegrin and metalloproteinase with thrombospondin motifs 5) Nanobody, was originally jointly developed by Merck KGaA and Ablynx under a 2011 agreement then solely developed by Merck after Sanofi acquired Ablynx in June 2018.
• Under the terms of the deal, Merck will receive €50M upfront, up to €400M in milestones and royalties on net sales.
• The disintegration of aggrecan, an essential component of joint cartilage, by ADAMTS5 is believed to be an early event of cartilage breakdown.
• https://seekingalpha.com/news/3620223-novartis-nabs-osteoarthritis-candidate-from-germanys-merck