Specialty biopharmaceutical company pSivida acquired Icon Biosciences and announced growth capital financing with Essex Woodlands Healthcare Partners last week.
Here are five things to know.
1. After acquiring Icon Biosciences, a specialty biopharmaceutical company, pSivida will rebrand as EyePoint Pharmaceuticals. Icon's lead product DEXYCU — dexamethasone intraocular suspension — is 9 percent FDA approved for postoperative inflammation and is administered as a single dose at the end of ocular surgery.
2. Essex Woodlands Healthcare Partners is making an equity investment of up to $60.5 million in pSivida as a third-party investor; the investment will be made in three potential tranches, subject to pSivida's board approval. At the same time, SWK Holdings is providing up to $20 million in debt financing for the acquisition.
3. EW Healthcare will purchase 8.6 million shares of pSivida common stock in the first tranche. In the third tranche, EW Healthcare will purchase around $25.5 million and receive a warrant to purchase an additional $25.5 million of the company's common stock.
4. Managing Director of EW Healthcare Partners Ron Eastman joined pSivida's board of directors.
5. Post-acquisition, pSivida is transforming the company into a specialty biopharmaceutical company with the potential to launch two ophthalmic products in the first half of 2019. "Our goal is to leverage the commercial infrastructure we are building and become a sustainable growth company," said Nancy Lurker, president and CEO. "Our rebranding and name change reflect the tremendous progress we've made and embody the momentum at EyePoint Pharmaceuticals."