Veeva and Merck Form Long-Term Strategic Partnership

Rhea-AI Summary

Veeva Systems (NYSE: VEEV) has announced a ten-year strategic partnership with Merck (NYSE: MRK), building upon their existing 12-year collaboration. The agreement entails Merck adopting a Veeva-first approach for new software and data solutions, aimed at reducing operational costs and enhancing patient and healthcare professional experiences. Veeva will offer a strategic pricing model and seek Merck's input on product development. This partnership is designed to accelerate Merck's digital transformation and improve efficiency in utilizing Veeva’s integrated platform.

Positive

• Ten-year partnership strengthens Veeva's market position.
• Merck's commitment to a Veeva-first approach is expected to boost sales of Veeva products.
• Strategic input from Merck may enhance Veeva's product offerings.

Negative

• None.

Ten-year partnership will help Merck reduce operational costs, deliver value to patients, and optimize the healthcare professional and patient experience

PLEASANTON, Calif., Nov. 1, 2022 /PRNewswire/ -- Veeva Systems (NYSE: VEEV) today announced a ten-year strategic partnership agreement with Merck (NYSE: MRK), known as MSD outside of the United States and Canada, that builds on the existing 12-year partnership between the companies. Under the terms of the agreement, Merck will take a Veeva-first approach to new industry-specific software and data, selecting Veeva products when they are fit for purpose to maximize the value of Veeva's integrated, cloud-based platform and products. Veeva will provide Merck with a strategic pricing approach and Merck will have input into Veeva's product roadmap. The partnership helps accelerate Merck's digital strategy and makes it more efficient for Merck to evaluate, purchase, operate, and create value from Veeva products and services.

"Transforming our digital, data, and analytics capabilities is integral to enabling our global colleagues to deliver on our purpose of using the power of leading-edge science to save and improve lives around the world," said Robert M. Davis, chief executive officer and president, Merck. "Our strategic partnership with Veeva expands our capacity to leverage innovative technology and enhances our ability to deliver value to patients and all our stakeholders – this is key to how we measure success." 

"I am excited to see our partnership with Merck evolve to this strategic level," said Veeva CEO Peter Gassner. "Our teams share a common passion for the industry and an understanding of strategic partnership. I look forward to seeing what we create together over the coming years."

Additional Information Connect with Veeva on LinkedIn: linkedin.com/company/veeva-systems Follow @veevasystems on Twitter: twitter.com/veevasystems

About Veeva Systems

Veeva is the global leader in cloud software for the life sciences industry. Committed to innovation, product excellence, and customer success, Veeva serves more than 1,000 customers, ranging from the world's largest pharmaceutical companies to emerging biotechs. As a Public Benefit Corporation, Veeva is committed to balancing the interests of all stakeholders, including customers, employees, shareholders, and the industries it serves. For more information, visit veeva.com.

Veeva Forward-looking Statements

This release contains forward-looking statements regarding Veeva's products and services and the expected results or benefits from use of our products and services, including certain of our new solutions and applications that are still under development or not generally available. These statements are based on our current expectations. Actual results, availability, and any future events relating to these products and services could differ materially from those provided in this release and we have no obligation to update such statements. There are numerous risks that have the potential to negatively impact our results, including the risks and uncertainties disclosed in our filing on Form 10-Q for the period ended July 31, 2022, which you can find here (a summary of risks which may impact our business can be found on pages 39 and 40), and in our subsequent SEC filings, which you can access at sec.gov.

Contact:
Maria Scurry
Veeva Systems
781-366-7617
maria.scurry@veeva.com

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SOURCE Veeva Systems

FAQ

What is the significance of the Veeva and Merck partnership announced on November 1, 2022?

The partnership enhances Veeva's market presence and enables Merck to streamline operations with a focus on digital transformation.

How will the Veeva-Merck partnership impact Veeva's stock performance?

The long-term agreement is likely to positively influence Veeva's stock as it secures a stable revenue stream and strengthens client relationships.

What benefits will Merck gain from partnering with Veeva Systems?

Merck aims to reduce operational costs and improve patient care through Veeva's integrated cloud solutions.

What are the terms of the partnership between Veeva (VEEV) and Merck (MRK)?

Merck will prioritize Veeva products for new software and data solutions, helping to shape the product roadmap.