Valeant buys Nicox’s U.S. subsidiary

Valeant Pharmaceuticals International has acquired the U.S. diagnostics unit of Nicox for $10 million, plus further cash payments of up to $10 million based upon Valeant achieving certain sales targets with the transferred products.

Nicox says the deal is part of its strategy to build an international ophthalmic company in Europe and the United States. Nicox plans to focus on developing its growing pipeline of ophthalmic therapeutics following its recent acquisition of Aciex Therapeutics, Inc., which includes Aciex’s AC-170 for allergic conjunctivitis and AC-155 for postop inflammation and pain.

Nicox said its operations outside the U.S. and its recent acquisition of Aciex are not affected by this transaction, which is effective immediately.

Under the agreement, Valeant acquired most of the Nicox commercial infrastructure in the U.S. associated with diagnostics, while Nicox has retained a number of U.S.-based employees focused on therapeutics, to pursue its specialty therapeutics strategy.

“We are very proud to have created an emerging and innovative ophthalmic diagnostics business in less than two years on the U.S. market, and to have attracted a prestigious company such as Valeant to build on the momentum that has been created,” said Michele Garufi, CEO of Nicox. “The decision to focus on therapeutics is due to several recent and short-to-mid-term opportunities under advanced discussions. This strategic move with our long-standing partner Valeant will enable us to leverage resources for our growing pipeline of advanced drug-candidates.”