Sun Pharma in Two Deals for CNS and Ophthalmic ProductsBy
Sun Pharmaceutical Industries has made two deals: one to divests central nervous systems drugs in India and the other to build its branded specialty ophthalmic business in the US.
In the first deal, Sun Pharma has agreed to divest to Strides Acrolabs two marketing divisions and employees of Ranbaxy's Solus and Solus Care divisions operating in the central nervous system (CNS) segment in India for Rs.1.650 billion. All the products of these two divisions together accounted for approximately Rs. 920 million in sales. The transaction is subject to approval from the Competition Commission of India and other customary closing conditions. All other terms and conditions of the transaction are confidential.
In another deal, a subsidiary of Sun Pharmaceutical Industries Ltd. has agreed to acquire InSite Vision, a company developing new specialty ophthalmic products, including three late-stage programs, for $48 million (plus debt and transaction costs) or $0.35 per share in cash. This proposed acquisition of InSite Vision, coupled with Sun’s recent in-licensing of Xelpros (latanoprost BAK-free eye drops) in June 2015, are steps to build Sun’s branded ophthalmic business in the US. These deals give Sun Pharma access to four late-stage branded ophthalmic products in the US.
InSite Vision has developed the DuraSite and DuraSite2 drug-delivery platforms, which are designed to extend the duration of drug retention, thus resulting in lower dosing frequency, and potentially enhanced efficacy. Based on this technology, InSite Vision has developed a pipeline of late-stage clinical candidates, and has recently filed a new drug application (NDA) with the US Food and Drug Administration for BromSite (0.075% bromfenac) for the treatment of inflammation and prevention of pain associated with cataract surgery. It plans to file another NDA in 2017 for DexaSite (0.1% dexamethasone) for the treatment of non-bacterial blepharitis, a common ocular condition for which there is no approved product currently available. Its AzaSite Plus is currently in Phase III clinical development for the treatment of eye infections, and ISV-101 is in Phase I/II clinical development for dry-eye disease and inflammation.
InSite Vision also has two commercialized products based on its DuraSite platform approved for the treatment of bacterial eye infections, AzaSite (azithromycin ophthalmic solution) 1%, and Besivance (besifloxacin ophthalmic suspension) 0.6%, marketed by respective partners.
The transaction has been approved by the board of directors of the Sun Pharma subsidiary.InSite Vision's board of directors has also approved the transaction and unanimously recommended that its stockholders tender their shares pursuant to the tender offer.
Source: Sun Pharmaceutical