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Merck KGaA terminates MS drug license agreement with Ono

FRANKFURT (Reuters) - German drugmaker Merck KGaA agreed with Japan's Ono Pharmaceutical to terminate a license agreement over Ono's experimental multiple sclerosis (MS) drug ceralifimod.

Merck, the maker of MS drug Rebif, said on Tuesday the project did "not meet Merck's threshold for continued investment".

Merck bought worldwide exclusive license rights from Ono for the development and commercialization of ceralifimod outside of Japan, Korea and Taiwan in October 2011.

The drug candidate is currently in the second of three phases typically required for regulatory approval.

(Reporting by Ludwig Burger; Editing by Christoph Steitz)