Pharmaceutical giant Merck & Co., known globally for its blockbuster cancer drug Keytruda, is undergoing a significant transformation in 2025. With the patent cliff for Keytruda approaching in 2028, Merck is aggressively diversifying its portfolio to build long-term sustainability across respiratory care, cardiovascular treatments, rare diseases, and vaccines.
🚀 A $10 Billion Leap Into Respiratory Medicine
One of the most high-impact moves this year has been Merck’s acquisition of Verona Pharma, a biotech firm specializing in respiratory therapeutics. At the center of the deal is Ohtuvayre (ensifentrine), a novel dual-action bronchodilator for treating Chronic Obstructive Pulmonary Disease (COPD).
Approved by the FDA in 2024, Ohtuvayre has gained rapid traction in the U.S. market. Prescriptions have surged in early 2025, and analysts predict the drug could generate annual revenues in the billions within the next decade. The acquisition price, over $10 billion, reflects Merck’s confidence in this segment and its intent to reduce overdependence on oncology.
This bold acquisition positions Merck as a key player in the growing COPD market, one of the leading causes of death worldwide.
🧬 Building a Robust Pipeline Across Therapeutic Areas
In parallel with the Verona deal, Merck has doubled down on clinical development across several key areas:
1. Winrevair (sotatercept) – Pulmonary Arterial Hypertension
Merck’s Phase 3 trial for Winrevair was stopped early due to overwhelming positive results. Patients showed significantly reduced disease progression, prompting the company to offer the drug to all trial participants. Regulatory approval is now fast-tracked, and the drug is expected to launch commercially within the next 12 months.
2. MK-0616 – Oral PCSK9 Inhibitor
MK‑0616, Merck’s oral cholesterol-lowering drug, has shown impressive results in Phase 3 trials. Unlike traditional injectable PCSK9 inhibitors, MK-0616 comes in tablet form, improving convenience and adherence. Experts believe it could become a blockbuster drug, targeting millions of patients with high LDL cholesterol.
3. V181 Dengue Vaccine
Merck has entered the final trial phase for its dengue vaccine candidate, V181. The vaccine is designed to be administered in a single dose, which could be a game-changer in tropical and sub-tropical countries battling frequent outbreaks.
4. Belzutifan (Welireg) – Rare Cancers
The company received FDA approval earlier this year to expand Belzutifan’s use to include rare tumors such as pheochromocytoma and paraganglioma. The drug is already being distributed in the U.S. and awaiting conditional approval in the EU.
These pipeline wins indicate Merck’s broader strategy: to address chronic and rare conditions with high unmet need while expanding its influence beyond oncology.
🌍 Global Expansion Through Biotech Acquisitions
Merck is not alone in its aggressive push. Its European counterpart, Merck KGaA, has also made headlines with the acquisition of U.S.-based biotech company SpringWorks Therapeutics. While both companies are separate entities, their synchronized expansion into rare tumors and genetic disorders reflects a global industry trend toward precision medicine and high-value niche markets.
📈 Financial Strategy: Balancing Growth and Shareholder Value
In addition to product development, Merck has maintained strong financial discipline. The company declared a quarterly dividend of $0.81 per share and announced a $10 billion share repurchase program, signaling confidence in its long-term performance.
Merck’s revenue for the first half of 2025 remains strong, supported by Keytruda, Gardasil (HPV vaccine), and newly launched therapies. However, investors remain cautious about how the company will compensate for Keytruda’s patent expiration starting in 2028.
Still, the combination of high-potential acquisitions, strong pipeline momentum, and shareholder-focused financial policies shows Merck is positioning itself for resilience.