Merck and PeptiDream Explore a New Angle on COVID-19

A PeptiDream and Merck partnership spotlights peptides as a flexible, early-stage antiviral option for COVID-19 and beyond

13 Jan 2026

A collaboration between Japan’s PeptiDream and US pharmaceutical group Merck is adding momentum to efforts to develop peptide-based treatments for Covid-19, as companies continue to explore new approaches to antiviral medicines.

The partnership is focused on discovering peptide therapeutics designed to block SARS-CoV-2 at an early stage of infection, with potential relevance for other coronaviruses. The companies say the work is intended to complement, rather than replace, vaccines and existing antiviral drugs, broadening the range of tools available against the disease.

Peptides sit between small-molecule drugs and larger biologic therapies, combining relatively precise targeting with scope for chemical modification. Proponents argue this makes them attractive in the face of viral mutation, as peptide structures can in principle be adapted as the virus evolves.

Under the agreement, PeptiDream is contributing its proprietary discovery platform, which allows researchers to screen large libraries of peptides to identify candidates that bind to specific biological targets. The company has positioned this capability as particularly valuable when speed is needed to respond to new variants.

Merck, known as MSD outside the US and Canada, is providing clinical development, regulatory and commercial expertise. Its role includes advancing selected candidates through trials and, if successful, supporting eventual approval and distribution in major markets.

Industry observers say the alliance reflects a broader interest among large pharmaceutical groups in maintaining diversified research pipelines. From this perspective, peptide therapeutics are increasingly viewed as one of several modalities that could strengthen preparedness for future infectious disease threats. Analysts caution, however, that such collaborations do not in themselves signal a clear shift in industry strategy.

The scientific and commercial challenges remain substantial. Peptide drugs often face issues around stability in the body, large-scale manufacturing and delivery. Any antiviral candidates emerging from the programme would need to show clear clinical benefit in trials, and regulatory approval would depend on the strength of the data. Neither company has disclosed development timelines or potential commercial outcomes.

Even so, the partnership highlights continued experimentation with new therapeutic formats prompted by Covid-19. Whether peptide-based antivirals become part of the standard arsenal against coronaviruses will depend on results that are still several years away.