J&J Not Likely To Hold Its Peace At Merck/Schering Altar
Merck and Schering-Plough are talking up the future - the commercial, pipeline and cost savings advantages of a proposed $41.1 billion merger - like newlyweds who have already tied the knot, danced the first dance and cut the cake. But there's an uninvited guest at the affair, Johnson & Johnson, a third-party with bargaining power that could step in to thwart Merck and Schering's happily ever after
You may also be interested in...
Johnson & Johnson Inc. and Merck & Co. Inc. settled their two-year dispute over Remicade (infliximab) and its successor Simponi (golimumab) April 15, avoiding an arbitrator's decision by striking a revised agreement under which each will retain some territorial rights to the drugs
Rather than let an arbitration panel decide the fate of two anti-TNF drugs, Merck surrenders many territories but holds onto Europe.
Analysts say Merck has a good chance of prevailing in arbitration over J&J's agreement with Schering to co-distribute Remicade but that the two parties may opt to settle.