Eyevance Pharmaceuticals was created and financed by an investment group who has prior established experience with the marketing and commercialization of pharmaceutical products. Jerry St. Peter, who was a key member of the Nicox team that led the acquisition of Aciex Therapeutics and its ZERVIATE asset, was selected by Eyevance’s financial main shareholder to serve as CEO because of his vast and consolidated experience in the US ophthalmology market. With regards to the large pharmaceutical companies in the ophthalmology industry, most of them are developing and marketing competing products to ZERVIATE in the US market, and as a result, none of them would have been a good partner for the commercialization of our product.
When Nicox negotiated back the rights for VYZULTA from Pfizer in 2009, this included access to data developed by Pfizer which was used for the VYZULTA approval. In exchange for this key asset, we negotiated some milestone payments and royalties to Pfizer. Nicox received $17.5 million from Bausch + Lomb on the VYZULTA approval, and made a payment to Pfizer of $15 million as per the terms of the agreement signed in 2009. Nicox is eligible to receive from Bausch + Lomb up to $165 million in potential payments (at four increasing annual sales levels), if certain regulatory and sales milestones are met, which would result in net milestone payments for Nicox of up to $150 million after considering payments due to Pfizer as part of the 2009 agreement. The next milestone payment of this amount Nicox is eligible to receive is a $20 million payment (of which $15 million is paid to Pfizer as the last Pfizer milestone) on Bausch + Lomb achieving $100 million in net sales. Nicox would also receive potential royalties on sales ranging from 10% to 16% (6% to 12% net of payments due to Pfizer) over three tiers up to December 31, 2018, then over four tiers thereafter.
VYZULTA has been commercialized in the U.S. since December 2017.
The company is not giving any guidance on future revenue. The current market and lead products in glaucoma and allergic conjunctivitis are shown in the presentation available on Nicox’s website: section Presentations and Events. Nicox will receive royalty payments on sales of VYZULTA and ZERVIATE and additional milestone payments linked to the achievement of sales levels and development milestones for both products.
The company is not giving guidance on potential timing to breakeven. This will depend on the level of revenues obtained and on the investments that the company will decide to make in its development programs.