The new structure will help Merck as it slides toward a loss of exclusivity for Keytruda, pharma’s best-selling drug.
Merck is separating its human health business into two core areas, with oncology on one side and everything else on the other. The move comes as mega-blockbuster immuno-oncology drug Keytruda heads toward a loss of exclusivity with key patents expiring as early as 2028.
“We are positive on the move by Merck management to refocus the business into a critical period for the company where execution and visibility into that execution will be key,” BMO Capital Markets wrote in a Monday morning note.
As part of the shift, Jannie Oosthuizen has been promoted to oversee the Oncology unit. He previously served as head of Merck Human Health U.S. Meanwhile, Brian Foard has been hired from Sanofi to lead the Specialty, Pharma & Infectious Diseases unit. As head of Sanofi’s Specialty Care Global Business Unit, Foard led many successful launches, including the blockbuster immunology medicine Dupixent.
Both Oosthuizen and Foard will report directly to CEO Robert Davis and join the company’s board.
“As we advance our pipeline and drive commercial success across an increasingly diversified portfolio, including a growing pipeline across Specialty, Pharma & Infectious Diseases, we are sharpening our focus on delivering innovative medicines for patients and creating long‑term value for our stakeholders,” Davis said in a Monday statement.
The new structure will help Merck as it slides toward a loss of exclusivity for Keytruda, pharma’s best-selling drug. The company is currently running 80 Phase 3 trials with more than 20 new growth drivers expected over the next few years, so the time is right to reorganize.
“We believe, while Merck still has work to solve, its Keytruda [loss of exclusivity], the company’s significant business and internal development has positioned the company for multiple expansion until 2028, with revenue solutions developing in later years,” BMO wrote.
A spokesperson confirmed to BioSpace that the personnel changes only impact senior leadership and there are no layoffs associated with the reorganization.
