Merck Serono and Affectis announce drug research alliance

Merck Serono is allying with Affectis Pharmaceuticals on research and development initiatives targeting neurodegenerative diseases.

The agreement will see Merck Serono developing and commercialising a number of Affectis oral compounds that function by targeting P2X7 receptors, which are thought to play a key role in neuroinflammation.

Under the terms of the contract, Affectis will receive an upfront payment and research funding, while the companies will also be conducting joint studies into P2X7 antagonist optimisation.

Merck Serono could be set to pay its partner up to 277 million euros (246.45 million pounds) in milestone fees for the first three products to arise from this collaboration, in addition to royalties.

Dr Bernhard Kirschbaum, executive vice-president for global research and development at Merck Serono, said: "We are pleased to announce this collaboration with Affectis Pharmaceuticals, a company with robust experience in drug discovery in the central nervous system area."

This comes after the firm expanded its partnership with Newron Pharmaceuticals to include new central nervous system disease treatments earlier this year.