Allergan said yesterday it closed its purchase of dry eye disease device developer Oculeve for $125 million in up-front payments in addition to unspecified commercialization milestones.
South San Francisco-based Oculeve is developing a product called OD-01, a non-invasive nasal neurostimulation device designed to increase tear production in patients with dry eye disease, Allergan said. Oculeve has completed 4 clinical trials of OD-01 to date.
“The acquisition of Oculeve further enhances Allergan’s world-class position in eye care and underscores our commitment to continuing to develop a broad range of treatment options for patients with eye conditions. Dry eye is currently an underserved condition, with many patients not receiving adequate treatment from over-the-counter options. Allergan is committed to expanding our product offerings in this category, and the development of OD-01, an intranasal neurostimulation device, is complementary to our market-leading dry eye treatment, Restasis, as well as other dry eye products in development within our pipeline,” Allergan CEO Brent Saunders said in a press release.
A pair of pivotal trials ahead of submission for FDA approval, expected next year, with commercialization potentially following in 2017, according to Dublin-based Allergan.
Allergan announced the deal last week, and reinforced its prior 2015 earnings-per-share guidance for $17 to $18 is unchanged as a result of the acquisition, which is expected to close during the 3rd quarter.