Danish biotechnology company Genmab A/S (CPH: GMAB) has entered into a definitive agreement to acquire EQT Life Sciences portfolio company Merus N.V. (NASDAQ: MRUS) in an all-cash transaction valued at USD8bn, EQT Life Sciences announced on Tuesday.

Merus, headquartered in Utrecht, the Netherlands, is a clinical-stage oncology company developing bispecific and trispecific antibody therapeutics. Its pipeline includes petosemtamab, in development for head and neck squamous cell carcinoma and other malignancies, and zenocutuzumab, an approved therapy for NRG1 fusion-driven tumours such as pancreatic and lung cancers.

EQT Life Sciences says that Petosemtamab has demonstrated best-in-class Phase 2 results in head and neck cancer, significantly outperforming historical benchmarks. The drug has received two FDA Breakthrough Therapy Designations, with additional trials ongoing in colorectal cancer.

EQT Life Sciences has been an investor in Merus since 2010, supporting its growth from a small preclinical start-up to a NASDAQ-listed biotech with more than 300 employees.