Sac-TMT, as a key ADC drug licensed by Kelun-Bio (06990) to Merck & Co in 2022, has already drawn significant attention from the industry.
According to Zhitong Finance APP, on November 4, Merck & Co initiated a rare targeted financing action for sac-TMT (Lukansatuzumab), raising $700 million from Blackstone for the global development of this product by 2026. Merck retains decision-making and control rights over the development, manufacturing, and commercialization of sac-TMT, and exchanges certain future revenue rights of sac-TMT for this round of financing. As a key antibody-drug conjugate (ADC) drug licensed to Merck by Kelun-Biotech-B (06990) in 2022, sac-TMT has already attracted significant industry attention. A careful analysis of the strategic layout behind this financing reveals Merck's high regard for sac-TMT.
Over the past few years, Merck & Co has continuously increased its investment in the ADC field, reaching cooperation agreements worth tens of billions of dollars with companies such as Kelun-Biotech and Daiichi Sankyo. With the impending patent cliff for Keytruda (K药), Merck’s determination toward ADC drugs has become even stronger. However, progress on other ADC drugs in its pipeline has not met expectations; for instance, HER3-DXd failed to achieve critical endpoints in global Phase III clinical trials, leading to the withdrawal of its marketing application.
In contrast, sac-TMT has demonstrated strong momentum across multiple fronts, not only gaining early approval in China but also capturing two Late-Breaking Abstracts (LBAs), including a keynote presentation at the recent ESMO conference, along with five poster presentations. This makes it one of the domestically innovative drugs with the most prominent reports, showing breakthrough efficacy in areas such as non-small cell lung cancer. Notably, the combination regimen of sac-TMT with Keytruda has broken through Keytruda’s treatment bottlenecks in diseases like prostate cancer, further unlocking its potent combination potential, solidifying its position as a crucial asset in Merck’s ADC strategic layout.
Currently, Merck & Co has launched 15 global Phase III clinical trials for sac-TMT across various fields, including lung cancer, breast cancer, gastric cancer, and gynecological tumors. This targeted financing elevates the importance placed on the product to new heights. Merck’s Chief Financial Officer, Caroline Litchfield, stated: “Sac-TMT is a highly promising ADC candidate targeting TROP2, and this agreement will enable us to fully unlock its potential while continuing to advance its broad and deep product development strategy.”
According to information shared at Merck’s 2025 ASCO Investor Meeting, sac-TMT will see the concentrated release of nine Phase III clinical trial datasets between 2027 and 2029. The publication of these critical data points will further validate sac-TMT’s immense global market potential, reinforcing its core position within Merck’s global pipeline and establishing it as a cornerstone in the company’s oncology portfolio.
Blackstone’s seemingly straightforward capital injection actually reflects its keen insight into the biopharmaceutical sector. Reviewing Blackstone’s previous investments in biomedicine—especially its strategic funding that propelled inclisiran (later becoming a core asset in Novartis’ pipeline, expected to surpass $1 billion in sales this year)—reveals the precision and foresight of its capital operations. This collaboration with Merck similarly underscores Blackstone’s profound understanding of sac-TMT’s potential, as it willingly supports the acceleration of its global development through financial backing.
With Merck’s strong push, this originally Chinese-developed drug is rapidly approaching the global market, poised to become a cornerstone product in global oncology treatment. Its vast market potential is certainly worth anticipating.
