Novartis has agreed to sell ophthalmology assets to Bausch + Lomb for an upfront payment of $1.75 billion, with potential milestone payments of up to $750 million. The total value of the deal could reach $2.5 billion. Novartis expects the deal to improve their focus more on higher-margin drugs.
Under the terms of the deal, Bausch + Lomb will get Novartis’ Xiidra, a treatment for dry eye disease, as well as two experimental products: libvatrep (formerly SAF312), an experimental treatment for chronic ocular surface pain with Phase 2b test results expected later this year. It will also receive AcuStream, a medical device being for delivery of topical eye medications.
Xiidra generated more than $400 million in 2022 revenue.
In addition to Xiidra, Bausch + Lomb already has a presence in the dry eye disease market, bagging FDA-approval for a drug called Meibo in May. The two drugs are expected to complement each other, targeting different aspects of the …