Novartis has agreed to divest its "front of eye" ophthalmology assets to global health company Bausch + Lomb in a $2.5 billion deal, including $1.75 billion in cash upfront.
The deal encompasses medications including Xiidra, a treatment for dry eyes disease; SAF312, a therapy for ocular surface pain; and AcuStream.
Novartis will receive milestone payments of up to $750 million for anticipated future sales of Xiidra, SAF312 and OJL332, a TRPV1 antagonist in preclinical development, according to a June 30 press release. Novartis will continue to supply Xiidra to patients for a time on behalf of Bausch + Lomb via transitional agreements.
The deal is expected to close in the second half of 2023, subject to regulatory approval and conditions.