TLDR
- Merck finalizes $9.2 billion acquisition of Cidara Therapeutics at $221.50 per share in cash
- Deal announcement expected Friday, November 14, 2025, after Merck outbid rival pharmaceutical company
- Cidara’s CD388 drug candidate offers universal flu prevention with 76% efficacy in clinical trials
- FDA granted CD388 breakthrough therapy designation in October 2025 for high-risk patients
- Acquisition includes upfront cash payment plus milestone-based payments tied to clinical trial results
Merck has finalized its acquisition of Cidara Therapeutics in a transaction worth up to $9.2 billion. The pharmaceutical giant will pay $221.50 per share in cash.
Cidara Therapeutics, Inc., CDTX
The deal announcement is expected as early as Friday, November 14, 2025. Both companies reached final agreement late Thursday evening.
Merck competed against another major pharmaceutical company for Cidara. The competing bidder remained in contention through Thursday before Cidara’s board selected Merck’s offer.
Cidara’s previous market capitalization was approximately $3.3 billion. Merck’s purchase price represents a substantial premium over that valuation.
The acquisition gives Merck control of CD388, Cidara’s experimental long-acting antibody drug. The therapy targets universal influenza prevention in high-risk populations.
Clinical Trial Data Drives Acquisition Price
CD388 showed 76% protection against influenza in mid-stage clinical trials. The drug works differently than traditional flu vaccines.
The treatment delivers a single dose that provides season-long protection. Patients would not need annual flu shots under this approach.
CD388 targets both influenza A and B strains. This universal coverage distinguishes the drug from strain-specific vaccines that require yearly updates.
The FDA granted CD388 breakthrough therapy designation last month. This regulatory status speeds up development and review for drugs addressing serious unmet medical needs.
The breakthrough designation specifically applies to preventing severe influenza illness in high-risk patients. These patients face complications that traditional vaccines may not adequately prevent.
Deal Structure Includes Performance Milestones
Merck’s acquisition includes both immediate cash and future milestone payments. The milestone payments trigger when CD388 meets specific clinical trial objectives.
The $221.50 per share represents the upfront cash component. The total $9.2 billion valuation includes projected milestone payments.
This payment structure ties part of the purchase price to CD388’s clinical success. Merck protects itself if development encounters obstacles.
Cidara shareholders benefit from milestone payments if the drug performs better than expected. The structure aligns incentives between both parties.
Neither Cidara nor Merck provided official comments on the transaction. Reuters contacted both companies for confirmation but received no immediate response.
The deal adds a potentially transformative therapy to Merck’s infectious disease pipeline. CD388 offers a non-vaccine option for flu prevention.
Merck beat out competing bids to secure Cidara. Multiple pharmaceutical companies recognized CD388’s commercial potential.
The acquisition reflects growing interest in next-generation flu prevention methods. Traditional vaccines require annual reformulation and administration.
CD388’s long-acting antibody approach could simplify flu prevention for vulnerable populations. One dose replacing annual shots improves patient compliance.
The breakthrough therapy designation positions CD388 for faster regulatory review. This status reduces the timeline from clinical trials to potential market approval.
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