(Reuters) – The American pharmaceutical company Merck agreed on Wednesday to acquire the ophthalmic biotechnology company EyeBio for an amount which could reach 3 billion dollars (2.76 billion euros).
It agreed to pay $1.3 billion in cash and an additional $1.7 billion in future milestone payments, including access to its retinal disease treatment, Restoret.
Merck said in February it had $15 billion in funds to invest in operations for growth and has already closed two major deals this year, while its cancer immunotherapy Keytruda is expected to lose exclusivity by the end of the decade.
Headquartered in London, EyeBio, which operates as Eyebiotech Ltd, has operations in the United States and the United Kingdom.
The “biotech” was founded by SV Health Investors, which is backed by Kate Bingham, the former head of the UK’s COVID-19 vaccine task force.
EyeBio is testing its investigational therapy Restoret in early-stage trials for retinal diseases characterized by blood vessel abnormalities that can lead to impaired vision.
The company also recently completed early-stage trials of the drug for diabetic macular edema, which impairs vision, and is expected to enter an interim trial for the condition in the second half of 2024.
The deal is expected to close during the third quarter of 2024.
(Written by Christy Santhosh in Bangalore; Kate Entringer, edited by Blandine Hénault)
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