Sun Pharma acquires Ocular Tech for $40 mn

27 October, New Delhi

Pharma giant Sun Pharmaceutical Industries said that it has entered into the execution of definitive agreements for the acquisition of 100 per cent of Ocular Technologies, Sarl (OTS), a portfolio company of Auven Therapeutics (Auven), an international private equity company for upfront payment of 40 million dollars.

OTS owns exclusive, worldwide rights to Seciera (cyclosporine A, 0.09 per cent ophthalmic solution). Sun Pharma will pay Auven 40 million dollars upfront, plus contingent development milestones and sales milestones as well as tiered royalty on sales of Seciera as consideration for this acquisition, the company said in a statement.

Presently, Seciera is in a Phase-3 confirmatory clinical trial for the treatment of Dry Eye Disease, an inflammatory ocular disease affecting approximately 16 million people in the United States alone.

Commenting on the development Dilip Shanghvi, Managing Director, Sun Pharma said, “This potential acquisition signifies continued momentum in enhancing our global branded specialty portfolio.”

“Coupled with our existing pipeline consisting of BromSite, DexaSite and Xelpros, this initiative will enable Sun Pharma to significantly expand its ophthalmic presence and reach millions of patients globally,” he added.

Jerry Peter, vice-president and head of Sun Ophthalmics described the deal as “an important milestone for us, as a specialty business dedicated solely to the needs of eye care practitioners and their patients. This will widen our potential to expand existing portfolio. We hope to bring Seciera to ophthalmologists and optometrists globally, the market for which is estimated to touch $5 billion worldwide by 2020.”

The transaction is subject to approval of the US Federal Trade Commission as required under the Hart-ScottRodino Act and other closing conditions, and is expected to be completed by end of 2016, the statement said.