Today, Alimera Sciences announced that they have acquired the US commercial rights of Yutiq (fluocinolone acetonide intravitreal insert) 0.18mg for the treatment of chronic non-infectious uveitis. Yutiq now joins Iluvien (fluocinolone acetonide intravitreal insert) 0.19 mg for DME in Alimera’s retina portfolio.
Alimera has expanded their US retina portfolio with the acquisition of the commercialization rights for Yutiq (fluocinolone acetonide intravitreal insert) 0.18mg, which is indicated for chronic non-infectious uveitis affecting the posterior segment of the eye, from EyePoint Pharmaceuticals.1 The deal was closed to the tune of $75 million in cash and $7.5 million in quarterly installments throughout 2024. Alimera is to immediately seize control of all US commercial activity for Yutiq.
Alimera hosted a conference call at 8:30 am on Thursday, May 18, 2023, during which Rick Eiswirth, president and chief executive officer of Alimera, and Russell L. Skibsted, chief financial officer of Alimera, stressed the synergy of the fluocinolone acetonide intravitreal inserts. During the call, Eiswirth said that the global pharmaceutical company had been searching for an additional retinal treatment to support Iluvien, which is another fluocinolone acetonide intravitreal insert but dosed at 0.19mg and indicated for diabetic macular edema (DME).
“This is a landmark transaction for Alimera, bringing critical mass to our revenue base and leveraging the commercial infrastructure we have built in the U.S,” said Eiswirth in a press release. “We know this product very well, having marketed Iluvien for the uveitis indication in Europe and the Middle East for several years now. We believe there are immediate synergies in adding Yutiq to our portfolio that will be accretive to revenue, Adjusted EBITDA [earnings before interest, taxes, depreciation, and amortization] and cash flow in the second half of 2023.”
Due to the similarities of the products, the executive team believes this will streamline sales to eye care providers. Additionally, this deal moves Yutiq into a commercial team with a little more reach, so EyePoint will enjoy more profitability on their end as they continue to receive potential royalties from 2025 to 2028, based on combined net revenues in the US from Iluvien and Yutiq. Royalties begin at $70 million in 2025 and will increase annually.
“EyePoint has done a wonderful job growing YUTIQ to almost $30 million in revenue in 2022,” Eiswirth continued in the press release. “We believe that deploying a larger commercial team focused on both ILUVIEN and YUTIQ will increase utilization of both products moving forward and expect Alimera to generate in excess of $100 million in net revenue and $20 million in Adjusted EBITDA* in 2024.”
With the closure of this acquisition, Alimera now owns exclusive global rights to Yutiq, with the exception of China, Hong Kong, Taiwan, Macau, South Korea, and Southeast Asia. In these areas, EyePoint has a pre-existing license with Ocumension Therapeutics.