QLT acquires ForSight Newco II for $42M plus

Canada's QLT has entered into an agreement to acquire privately-held USA-based ForSight Newco II, thus gaining access to its proprietary ocular punctal plug drug delivery system, which has the potential for future multiproduct opportunities. The first clinical candidate utilizing this platform will target glaucoma, QLT noted.

"This acquisition is a clear strategic fit. It complements our expertise in ophthalmology, and it supports our goal to expand our pipeline of ocular products," said Bob Butchofsky, chief executive of QLT. "We believe that our proprietary system for delivery of medications to the eye using punctal plugs will be an important therapeutic advance in the field of ophthalmology, and could become a key contributor to our future growth," he added.

Under the terms of the deal, QLT will acquire all of the outstanding shares of ForSight Newco II for $42.0 million on closing along with future milestones and royalties on net sales of products. These payments consist of a one-time $5.0 million fee upon the initiation of a Phase III trial for the first product, $20.0 million on first commercialization of each of the first two products using ForSight Newco II's technology and $15.0 million on first commercialization of each subsequent product.