Merck & Co. has agreed to acquire London-based Verona Pharma for $10 billion, centered on the recently approved COPD drug Ohtuvayre. The FDA approved Ohtuvayre in June 2024 as the first inhaled maintenance treatment for COPD in over two decades, combining bronchodilator and anti-inflammatory mechanisms. Early commercial uptake has exceeded analyst expectations, with first-quarter sales reaching $71 million, nearly doubling the previous quarter. Merck CEO Robert Davis emphasized the acquisition's alignment with Merck's strategy to expand cardio-pulmonary offerings and offset anticipated patent expirations of cancer blockbuster Keytruda. The deal, approved by both companies' boards, is expected to close in Q4 2025. Verona's pipeline includes ongoing clinical studies of ensifentrine in asthma and bronchiectasis. The acquisition ranks as Merck's second-largest biopharma buyout this year and reflects increased M&A activity aimed at diversifying revenues.