Merck Exercises Option to License Evaxion's EVX‑B3 Infectious Disease Vaccine Candidate

Why It Matters

The announcements validate the commercial potential of AI‑driven vaccine design and give Coherus a solid financial runway to scale its pipeline, positioning it as a frontrunner in next‑generation immunotherapy and infectious‑disease solutions.

Key Takeaways

• Merck licenses EVX‑B3, first AI infectious vaccine deal
• EVX‑01 shows 75% ORR, 25% CRR, 92% durability
• 81% neoantigens elicit specific T‑cell responses
• Cash $23M extends runway to late 2027
• Gates Foundation partnership targets AI‑designed polio vaccine

Pulse Analysis

The AI‑immunology platform at Coherus is reshaping how vaccine candidates are discovered and optimized. By integrating multi‑omics data and automated design modules, the company can generate ranked antigen sequences within 24 hours, slashing development timelines and costs. This capability attracted Merck’s first‑ever in‑licensing of an AI‑identified infectious‑disease vaccine, EVX‑B3, signaling broader industry confidence in machine‑learning‑driven R&D and setting a precedent for future collaborations across biotech and pharma.

Clinical validation came from the Phase II EVX‑01 melanoma study, which posted a 75% objective response rate and a 25% complete response rate, with 92% of responders maintaining disease control after two years. The trial also demonstrated an 81% immunogenicity rate across administered neoantigens, surpassing typical benchmarks of 60% or lower. These outcomes underscore the precision of AI‑guided neoantigen selection, offering a compelling case for personalized cancer vaccines that can achieve durable remissions while potentially reducing reliance on conventional chemotherapy.

Financially, Coherus strengthened its balance sheet with $32 million of cash inflows, ending 2025 with $23 million in cash and a runway extending into late 2027. The capital raise, combined with milestone payments from the Merck deal and a new Gates Foundation partnership to design a polio vaccine, provides the liquidity needed to advance preclinical programs such as EVX‑04 for AML and to explore autoimmune indications. With a clear path to additional data readouts in 2026, the company is positioned to transition from a cash‑burn phase to a self‑funding model, enhancing shareholder confidence and attracting further strategic partnerships.

Deal Summary

Merck (MSD) exercised its option to acquire the EVX‑B3 infectious disease program from Evaxion A/S, marking the company's first in‑licensing of an AI‑discovered vaccine candidate. The agreement was announced during Evaxion's Q4 2025 earnings call.