Merck acquires part of bankrupt Hawaii Biotech
The funding raised through the deal is critical for Hawaii Biotech, which was on track to exhaust a line of credit by the end of July. Neither Merck nor Hawaii Biotech would disclose terms of the deal, which was approved Monday by U.S. Bankruptcy Judge Robert Faris.
For Merck, the acquisition will give it the opportunity to expand its lineup of more than a dozen vaccines, including ones for hepatitis A and hepatitis B; measles, mumps and rubella; human papillomavirus; and influenza. "This is consistent with Merck's strategy for developing vaccines that meet global unmet medical needs," said Merck spokesman Ian McConnell.
Hawaii Biotech is planning to begin a Phase 1 human clinical study of its tetravalent dengue vaccine later this year. Under a contract from the National Institute of Allergy and Infectious Diseases, Advanced BioScience will oversee manufacturing, assembling and testing of supplies. Hawaii Biotech also is developing a West Nile vaccine and recently completed a Phase 1 clinical trial with it in humans.
Hawaii Biotech filed for Chapter 11 bankruptcy protection in December and is currently funding its operations with a $2 million line of credit.
Source: Star Advertiser
