Second $50M milestone for Ophthotech under Fovista deal with Novartis

US biotech firm Ophthotech (Nasdaq: OPHT) says it has achieved a second $50 million enrollment milestone from Swiss pharma giant Novartis (NOVN: VX) as part of the ex-US licensing and commercialization agreement between the two companies focused on the treatment of wet age-related macular degeneration (AMD; The Pharma Letter May 20, 2014).

This second enrollment milestone from Novartis was triggered as a result of Ophthotech reaching the second enrollment goal under the agreement in its pivotal, multi-national Fovista (anti-PDGF aptamer) Phase III clinical program. To date, Ophthotech has attained $300 million in upfront fees and milestone payments. These amounts consist of a $200 million upfront fee upon the execution of the agreement in May of last year and $100 million of $130 million in potential enrollment-based milestones under the agreement. Fovista, Ophthotech’s anti-platelet-derived growth factor (PDGF) compound, is being studied in combination with anti-vascular endothelial growth factor (VEGF) therapy for the treatment of wet AMD.

The $50 million milestone will result in $40.6 million of revenue to be recorded in the quarter ending March 31, 2015. The remaining $9.4 million will be deferred and recognized as revenue on a proportional basis through 2017.