Merck takes over Rigontec in profitable sale : Date:
The Bonn-based spin-off Rigontec specialises in RNA therapies to stimulate the immune system. Now Merck & Co wants to take over the company for as much as 464 million Euros.
Therapies based on RNA are increasingly gaining in importance. RNA (ribonucleic acid) is the carrier of genetic information, in addition to DNA (deoxyribonucleic acid). Targeted implanting of RNA codes into an organism can impact the immune system. The team working with Gunther Hartmann and Veit Hornung have taken advantage of that to specifically activate the body’s own immune system. With their idea to develop new kinds of therapies on the basis of RNA molecules, the team was among the winners of the GO-Bio competition in 2009.
RNA therapy against cancer
Since its spin-off in 2014 from the University Hospital Bonn, Rigontec has focused on the RIG-I-agonist RGT100. RGT100 activates the innate immune system, which is then capable of tackling cancer cells, for example. The concept can be used for different therapies to fight cancer, viral infections and autoimmune diseases. For this purpose, the company has mobilised 30 million Euros from life science investors: Boehringer Ingelheim Venture Fund, Forbion Capital Partners, High-Tech Gründerfonds, MP Healthcare Venture Management, NRW BANK, Sunstone Capital and Wellington Partners Life Science. With this capital the research and development pipeline has been expanded and RGT100 been tested. A phase I/II study on RIG-I-agonists will run from the beginning of 2017.
Merck pays 115 million Euros for takeover
Merck & Co has announced the complete takeover of the company Rigontec. Through a subsidiary company, the corporation will pay 115 million Euros to the Ringotec shareholders for the takeover. When reaching predefined clinical and commercial milestones, an additional payment of up to 349 million Euros is stipulated. Christian Schetter, CEO of Ricontec, is confident that the take over by Merck will promote the development of the cancer therapy. “MSD is a pioneer in immune oncology. We are convinced that our technology will profit from MSD’s experience and leadership.”
Build on Rigontec research
Eric Rubin, Manager at Merck & Co, thinks that the approach taken by Rigontec with 550 clinical trials for immune oncology running at present is especially promising. “We are interested in building on Ricontecs research results to move closer to our goal of making relevant progress for cancer patients.”, says the manager.
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