Novartis expects the dry eye drug to boost its portfolio. Credit: Laitr Keiows.

Novartis has acquired ophthalmic solution Xiidra (lifitegrast) 5% from Takeda Pharmaceutical for an upfront cash payment of $3.4bn.

Signed in May this year, the deal includes up to $1.9bn in potential milestone payments.

Related Company Profiles

View all

Xiidra is said to be the first prescription medicine to be approved for the treatment of dry eye disease signs and symptoms.

The drug has been approved in several markets, including the US, Canada and Australia. It is currently under review in other countries.

Xiidra was used to treat around 1,000 patients across four vehicle-controlled, 12-week clinical trials, which evaluated the medicine’s effect on the symptoms of dry eye at baseline and weeks two, six and 12.

The acquisition is intended to expand Novartis’ ophthalmic portfolio. The company’s president Marie-France Tschudin said: “This deal delivers on our ongoing commitment to reimagine medicine for patients suffering from a variety of eye diseases, while also laying the critical groundwork for future, potential front-of-the-eye pipeline products we have in development.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Meanwhile, Takeda intends to use the proceeds from the divestiture to reduce debt left over following its acquisition of Shire. The sale forms part of the Japanese pharmaceutical company’s strategy to simplify its portfolio.

Takeda Pharmaceutical president and CEO Christophe Weber said: “The completion of this transaction marks an important step in executing Takeda’s strategy, which is focused on optimising our portfolio around the key business areas that are core to our long-term growth and creating the most value for our patients and shareholders.

“We are proud of the benefits Xiidra has created for patients as part of Takeda, and confident that Novartis will be a strong steward of this innovative therapeutic.”

Takeda noted JPY5,048.9bn ($46.67bn) in net debt outstanding as of 31 March 2019.