As per the agreement, Merck will gain exclusive license to Theravance’s therapeutic candidates and will in return make $5m upfront payment, funding to carryout research activites.
Theravance is even eligible to receive milestone payments worth $148m for the first indication besides royalties on worldwide net sales of each product resulting from the partnership.
Theravance research and early clinical development senior vice president Mathai Mammen said there is a considerable unmet medical needs in the management of cardiovascular disease in spite of years of medical advances.
"Over the last several years, Theravance has gained significant insights into the design of novel molecules directed towards certain cardiovascular targets," Mammen added.
Merck cardiovascular research senior vice president Michael Mendelsohn said, "By combining Merck’s experience with the strengths of the Theravance team we are well positioned to advance this new collaboration forward."