AstraZeneca and Merck & Co have announced a global strategic oncology collaboration to co-develop and co-commercialise the former’s Lynparza and selumetinib for multiple cancer types.

Lynparza (olaparib) is a first-in-class oral poly ADP ribose polymerase (PARP) inhibitor already approved for BRCA-mutated ovarian cancer in multiple lines of treatment and in development across several other tumour types.

The companies will develop and commercialise Lynparza jointly, both as monotherapy and in combination with other potential medicines. Independently, the companies will develop and commercialise Lynparza in combination with their respective PD-L1 and PD-1 medicines, Imfinzi (durvalumab) and Keytruda (pembrolizumab).

AZ and Merck will also jointly develop and commercialise selumetinib, AZ’ oral, potent, selective inhibitor of MEK, which is currently being developed for multiple indications including thyroid cancer.

Pascal Soriot, AZ’ chief executive, said the collaboration “builds on scientific evidence that PARP and MEK inhibitors can be combined with PD-L1/PD-1 inhibitors for a range of tumours.

“By bringing together the expertise of two leading oncology innovators, we will accelerate Lynparza’s potential to become the preferred backbone of many immuno-oncology combination therapies as the world’s first and leading PARP inhibitor.”

Under the terms of the deal, the firms will share development and commercialisation costs as well as gross profits from product sales. Merck will fund all costs of Keytruda in combination with Lynparza or selumetinib, while AZ will pay any costs relating to Imfinzi in combination with Lynparza or selumetinib.

Merck will pay AZ up to $8.5 billion in total consideration, including $1.6 billion upfront, $750 million for certain license options and up to $6.15 billion contingent upon successful achievement of future regulatory and sales milestones.