Santen purchases ophthalmic assets from Merck

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Santen Pharmaceutical recently announced that it has entered into an agreement with Merck & Co. to purchase Merck's ophthalmology products-Cosopt (dorzolamide/timolol), Cosopt PF, Trusopt (dorzolamide), Trusopt PF, Timoptic (timolol maleate ophthalmic solution), Timoptic PF, Timoptic XE (timolol maleate ophthalmic gel), Saflutan (tafluprost), and Taptiqom(tafluprost timolol)-in Japan, Europe, and Asia Pacific.

Osaka, Japan-Santen Pharmaceutical recently announced that it has entered into an agreement with Merck & Co. to purchase Merck's ophthalmology products-Cosopt (dorzolamide/timolol), Cosopt PF, Trusopt (dorzolamide), Trusopt PF, Timoptic (timolol maleate ophthalmic solution), Timoptic PF, Timoptic XE (timolol maleate ophthalmic gel), Saflutan (tafluprost), and Taptiqom(tafluprost timolol)-in Japan, Europe, and Asia Pacific. The annual sales in these territories associated with these ophthalmic products are approximately $400 million.

Under the terms of the agreement, Santen made upfront payment of approximately $600 million and additional payments based on defined sales milestones as needed. Santen will also receive supply from Merck, the ophthalmology products within this agreement for a two- to five-year period. The agreement is subject to certain closing conditions, including obtaining antitrust clearance in Japan and other closing conditions related to specific markets or regions. Santen intends to fund the transaction with a combination of cash on hand and bank loans.

"Santen is proud to inherit and continue Merck's formidable legacy in ophthalmology,” says Akira Kurokawa, present and CEO of Santen. “This transaction strengthens Santen's lineup of glaucoma products, significantly expands Santen's footprint in Japan, Asia and Europe, and is an important step in achieving its long-term corporate vision to become a specialized pharmaceutical company with a global presence by 2020. We are pleased that by entering into this agreement, Santen can increase its presence in the global ophthalmology market, which consequently allow us to contribute even further to meet the medical needs of the patients suffering from various eye disease.”

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