Merck to Buy Biotech Firm SmartCells
WHITEHOUSE STATION, New Jersey (
) --
Merck
(MRK) - Get Report
said Thursday it buying biotechnology company
SmartCells
.
SmartCells, a private company, is developing a glucose responsive insulin formulation for the treatment of diabetes mellitus, Merck said in a press release Thursday.
Merck will acquire all outstanding stock of SmartCells, and in return SmartCells will receive an upfront cash payment and be eligible to receive $500 million more if certain milestones are met.
The board of SmartCells unanimously approved the transaction.
If the SmartCells treatment works, it would expand Merck's treatment offerings for diabetes, according to the
Wall Street Journal
, which reported news of the pending announcement earlier Thursday. Two of Merck's top-selling drugs -- Januvia and Janumet -- are pills for Type 2 diabetics.
-- Written by Joseph Woelfel
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Joseph Woelfel
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