Eyetech’s lead product is Macugen, a treatment for age related macular degeneration (AMD), a leading cause of adult blindness. However, Genentech has recently announced positive preliminary data from its phase III trial of its rival drug Lucentis, in which 96% of patients treated with 0.5mg of the drug maintained or improved vision.
It is widely thought that Lucentis is likely to take a large portion of the AMD market upon gaining regulatory approval.
In a statement released in reaction to the OSI request for more time, Eyetech representatives said the company; “believes that it is clear under the merger agreement that OSI has no basis to claim either that a “material adverse effect” has occurred or that OSI has any other grounds not to close the merger… Eyetech intends to insist on strict compliance with the merger agreement.”
OSI agreed to purchase Eyetech in August this year for $20 per share representing a 43% premium over Eyetech’s $13.99 closing share price on August 19, 2005.