Under the agreement, EyeGate will receive an upfront cash payment, development-based milestone payments related to the completion of development for the indication of anterior uveitis and an approval-based milestone payment upon receipt of FDA approval of the Product.
Additionally, the Company would receive royalties based on net sales, as well as additional milestone payments based on the achievement of certain cumulative sales milestones.
EyeGate shall be responsible for the development of the Product in the US for the indication of anterior uveitis, together with the costs associated therewith. Valeant has the right to develop the Product in the field outside of the US and has agreed to fund 100% of any costs associated therewith.
"This licensing agreement provides a significant validation for the EGP-437 combination product and has transformative potential for EyeGate. Valeant is among the largest and most respected companies in the ophthalmology space, and we are thrilled to be working with them to advance our lead product candidate," said Stephen From, President and Chief Executive Officer of EyeGate.
"We believe that the iontophoretic delivery of EGP-437 via the EyeGate II Delivery System represents a compelling new approach to the treatment of uveitis that could improve patient outcomes through increased adherence."