Merck plans to pay $1.3 billion in cash upfront to acquire the company, with a potential $1.7 billion in additional milestone payments.
This marks Merck’s further expansion into the eye care market, which it had initially abandoned a decade ago. Its venture arm was already an investor in EyeBio, according to the report.
EyeBio’s lead medication is Restoret, which treats eye conditions, including a form of age-related macular degeneration that leads to blurred vision and potential blindness.
The drug is also in development for wet AMD, a condition that 2 million people in the U.S. suffer from.
Competitors Regeneron Pharmaceuticals Eylea and Roche brought in $5.9 billion in sales and $2.7 billion in sales, respectively, for their wet AMD medications in 2023.
