Merck KGaA reaffirmed its strong performance in the healthcare sector in its FY 2024 earnings report, but provided little additional information on ongoing acquisition talks with SpringWorks Therapeutics.
Speculation surrounding a potential transaction between the two companies first emerged on 10 February 2025, when Reuters reported that Merck KGaA was engaged in discussions to acquire SpringWorks. The same day, Merck KGaA acknowledged the negotiations, but stressed that there was no certainty a deal would be finalised. SpringWorks’ stock price surged by 34% following the disclosure of the discussions, pushing its market capitalisation over $4bn.
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During a 6 March press call, Merck KGaA’s CEO Belén Garijo stated that there “is very little that we can say at this time,” regarding the ongoing talks.
A successful acquisition would provide Merck KGaA with SpringWorks’ portfolio of targeted oncology therapies, including Ogsiveo (nirogacestat), which is approved for desmoid treating tumours, as well as the MEK inhibitor Gomekli (mirdametinib), which was recently approved in February 2025 for treating neurofibromatosis type 1 (NF1), a rare genetic disorder.
According to GlobalData’s Pharma Intelligence Center, Gomekli is projected to generate up to $564m in global sales by 2030, while Ogsiveo sales are expected to reach $1.2bn by the same year.
GlobalData is the parent company of Pharmaceutical Technology.
Garijo emphasised that Merck KGaA’s broader merger and acquisition (M&A) strategy remains focused on targeted, lower-risk deals aimed at strengthening its life sciences and healthcare portfolio, particularly through late-stage in-licencing opportunities.
“This is going to be absolutely limited to clear cut, low risk deals that will create value from very early on. So rest assured, we will fully comply with this and stay extremely disciplined when executing our M&A agenda,” said Garijo in a call to investors.
The company’s healthcare division reported 7% net sales growth in 2024, reaching €8.5bn ($9.2bn). Oncology was a key driver of this performance, with sales in the segment increasing by 12.7% to €2bn ($2.17bn). The company has made moves in the oncology space in recent years, including an October 2024 acquisition of Modifi Biosciences, a Yale University-spinout focused on DNA repair-targeting cancer therapies. Merck KGaA acquired all outstanding shares of Modifi through a subsidiary for an upfront payment of $30m, with the potential for additional milestone payments totalling up to $1.3bn.
Merck KGaA’s top-selling product in 2024 was Erbitux (cetuximab), which generated €1.16bn ($1.25bn) in revenue. The drug – a monoclonal antibody used in the treatment of certain head and neck cancers as well as colorectal cancer – is expected to see continued sales growth, with GlobalData’s projections estimating it could generate $1.9bn in annual revenue by 2030.
