UPDATE: About 170 Workers At The Former Acceleron (Now Merck) Facility Near Boston Will Be Let Go, At End Of May...

Regular readers will recall that there was quite a stink made -- that perhaps Merck was getting Acceleron's portfolio of life-science assets. . . far too cheaply, for the venture investors, and some in private equity (who, afterall, had staked capital at a peak-risk time -- and expected top of market returns on the same).

There was also at least some concern that the acquisition would hamper US-based market competition, in the anemia care arena, since Merck already had a candidate under FDA review, there. [But that review seems slowed now at FDA on questions about the clinical trial data.] In any event, the deal is now done, and will be accretive to Merck over the longer haul. Here's the latest from FiercePharma's reporting on layoffs:

. . ."[O]n Tuesday, March 15, Merck notified Acceleron employees who will be separating from the company on or after May 31, 2022," a Merck spokesperson confirmed via email. . . .

At the moment, Merck has "no further plans for company-wide restructuring or layoffs," the spokesperson added. . . .

Merck’s $11.5 billion Acceleron buyout was one of the largest M&A deals of 2021—and it was also among the most contentious. The deal wrapped up in November despite antitrust concerns and protests from rebel Acceleron investors.

The takeover let Merck get its hands on Acceleron’s lead clinical candidate sotatercept, a potential first-in-class therapy for pulmonary arterial hypertension (PAH) that could hit $2 billion to $3 billion in peak sales, as well as marketed anemia med Reblozyl (luspatercept), which generated $551 million in full-year 2021 sales. Reblozyl owner Bristol Myers Squibb will pay low- to mid-20% royalties to Merck based on Reblozyl sales now that Acceleron is flying Merck’s flag. . . .

There you have it -- we do hate to see these sorts of slashing-workforce announcements, doubly so in a field wide open with new science possibilities, and thus new market opportunities -- for ongoing growth and expansion.

It is not like this is an old line steel plant in Pittsburgh, or a tabacco warehouse, outside Frankfort, Kentucky, or a chicken feed lot in rural middle Tennessee. This is the new science-driven economy -- midddle of the road. Disheartening.

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