OSI closes Eyetech deal in face of rivalry

Share this article:
OSI Pharmaceuticals didn't allow recent news from Genentech, which is developing a possible rival product, to spoil its planned takeover of eye-treatment firm Eyetech.
OSI said it acquired the company for about $685 million in cash and about 5.7 million shares of OSI common stock. The net value of the acquisition is about $650 million, after Eyetech's cash and net operating losses are factored in, OSI said.
Over the summer, Eyetech, whose sole product Macugen treats the wet form of age-related macular degeneration, agreed to sell itself for about $935 million. That deal had placed a
value on Eyetech of $20 a share. But last week OSI worried investors by saying it wanted extra time, prior to closing the buyout, to assess data from a Phase III trial of Genentech's experimental drug Lucentis (ranibizumab), also for wet age-related macular degeneration. In the trial,
the drug met its primary goal of maintaining vision in patients with the disease.
OSI released a statement over the weekend signaling its readiness to move ahead with the takeover.
Share this article:

Email Newsletters

More in News

Sanofi tightens PCSK9 race, exceeds Q2 expectations

Sanofi tightens PCSK9 race, exceeds Q2 expectations

Sanofi and partner Regeneron attached a $67.5-million priority review voucher to their experimental cholesterol drug alirocumab, making for a tighter race with Amgen.

HHS shows how diabetes adds up

HHS shows how diabetes adds up

A 2005-to-2010 survey shows diabetics 65-and-up juggle at least four co-morbid conditions and five medications for them.

AstraZeneca beefs up respiratory portfolio

AstraZeneca beefs up respiratory portfolio

AstraZeneca has made an $875-million move to beef up its respiratory pipeline by making Almirall's lineup its own.