OcuMension gains rights to Alcon eye drops for 16.7% equity, starting strategic partnership

On August 13, 2024, Ocumension Therapeutics ("OcuMension") announced a strategic agreement with Alcon Inc. ("Alcon") to acquire commercialization rights in China for a portfolio of Alcon's dry eye treatments and procedural drops. This portfolio includes several products already on the market and one that is still in the development stage. The agreement also encompasses research and development (R&D), manufacturing, and commercialization activities in China. As part of the deal, OcuMension will issue 139,161,120 shares to Alcon, making Alcon one of its largest shareholders with a 16.71% stake in the company post-issuance. Additionally, both companies have granted each other a right of first negotiation for future products.

OcuMension is a prominent Chinese ophthalmic pharmaceutical company specializing in the entire lifecycle of ophthalmic drug development, from R&D to commercialization. The company boasts a portfolio of 25 pharmaceutical assets. On the other hand, Alcon is a global leader in eye care, providing a wide array of products to improve vision and enhance the quality of life for patients in over 140 countries.

Under the terms of the agreement, OcuMension will acquire the rights to Tears Natural® Forte, Bion Tears, Alcaine®, Fluorescite, and Cyclogyl for the Chinese market. Additionally, OcuMension will secure the commercialization rights in China for Systane® Ultra and AR-15512, a new topical drug candidate for dry eye. After a transition period, OcuMension will manufacture these products for the Chinese market. Furthermore, OcuMension will develop, manufacture, and commercialize AR-15512 in China.

The inclusion of these seven established products and the new AR-15512 into OcuMension's portfolio is expected to bolster the company's leadership in the Chinese ophthalmology sector. This acquisition aims to provide more advanced and comprehensive treatment solutions, better serving patient needs and expanding the company's market share.

Both OcuMension and Alcon anticipate that this agreement will drive technological advancements and innovation in ophthalmology. With ophthalmic diseases being a highly focused medical sub-sector globally, there remains significant potential for the development of innovative treatment solutions. OcuMension plans to continue its focus on bringing safer, more efficient, and cutting-edge treatments to ophthalmic patients worldwide, addressing the growing medical needs in the field.

Alcon, with a heritage spanning over 75 years, is the global leader in eye care. The company offers the most extensive portfolio of products designed to enhance vision and improve lives. Alcon's surgical and vision care products reach more than 260 million people in over 140 countries each year, addressing conditions such as cataracts, glaucoma, retinal diseases, and refractive errors. The company's 25,000 associates are dedicated to improving the quality of life through innovative products, partnerships with eye care professionals, and programs that enhance access to quality eye care.

OcuMension, based in China, is an ophthalmic pharmaceutical platform company committed to developing and commercializing first- or best-in-class ophthalmic therapies. The company's vision is to provide world-class pharmaceutical solutions to address significant unmet ophthalmic medical needs in China. Since its inception, OcuMension has built a platform that integrates specialized capabilities across all major functions involved in the development cycle of ophthalmic drugs, positioning itself for leadership in China's ophthalmology sector with a first-mover advantage over future competitors.

Morrison Foerster served as the legal advisor to OcuMension in this transaction, while Lazard acted as the financial advisor to Alcon, with Gibson Dunn as its legal advisor.