Merck, Now No. 2 Drugmaker, Set For Future Buys

LINDA A. JOHNSON

TRENTON, N.J. (AP) — The new Merck & Co. has become the world's second-biggest drugmaker overnight with a huge acquisition, but it still has a fat wallet and plans more wheeling and dealing.

A day after closing its $41.1 billion purchase of longtime joint venture partner Schering-Plough Corp., Merck already is looking to increase the number of acquisitions and licensing deals it does, Chief Executive Richard Clark said Wednesday. The company has averaged 50 deals a year since 2003.

"We'll actually do more and maybe even try to double it," he told The Associated Press exclusively.

Clark said Merck is looking to make deals with "biotech companies that have first or best-in-class products that can build our franchises."

It has about $8 billion in cash and investments to spend.

Wall Street liked the Schering deal, pushing Merck shares up $1.97, or 6.4 percent, to end at $32.64 Wednesday, making it the top gainer among the Dow Jones industrial average components.