Reuters
- Following the blink of an eye in 2020, Merck said on Wednesday that he had sold his entire stake in Moderna.
- Merck, who has been collaborating with Moderna on the treatment of potential cancer, invested in Moderna in 2015 and 2018.
- Merck said it has recorded “significant gains” in its investment in Moderna, and that it is still in direct and indirect contact with Moderna through investments in venture funds.
- Shares of Moderna initially traded lower on the news, but have since improved in Wednesday’s trading.
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Merck, a New Jersey-based pharmaceutical giant, is one of the investors involved in the 2020 climate boom.
In a statement on Wednesday, Merck said it had sold its equity stake in Modern in the first half of the fourth quarter, adding that it had made a “significant gain” on its holdings.
Shares of Moderna fell as much as 9% in early morning trading, but have bounced back by Wednesday afternoon.
Merck initially invested 50 50 million in Modern before it went public in 2015 and then invested 125 125 million in the company in 2018. Moderna went public in late 2018.
From the start of the fourth quarter to year-over-year, Moderna shares were up 255%. The stock continued its bullish run in the fourth quarter, with Modarna hitting an all-time high of 8,178.50 in Tuesday’s trading session, representing an 813% year-to-date increase.
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Merck said it is still in indirect contact with moderna equities through venture funds.
Merck did not mention how much he booked in return on investment. The company said it would record benefits in the “Other Revenue” section of its earnings statement when it reports earnings.
Both biotech companies continue to collaborate on potential cancer vaccine treatments.
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