Viatris eyes $1 billion revenue from eye care acquisitions by 2028

Company has bought ophthalmology business of Taparia family-backed Famy Life Sciences

Viatris Inc, the US healthcare company formerly known as Mylan Laboratories, aims to add $1 billion by 2028 as global sales after its recent acquisitions in ophthalmology (eye care).

In India, the company acquired the ophthalmology business of Taparia family-backed Famy Life Sciences for $300 million (around Rs 2500 crore). Viatris will develop a handful of under-development products under phase 3 clinical trials.

These products are in the areas of dry eye disease, Blepharitis (inflammation of the eyelids), Presbyopia (gradual loss of eyes' ability to focus on nearby objects), Viatris said in an investor presentation.

Viatris will acquire Oyster Point Pharma which markets a novel dry eye product in the US. Together, the two deals are worth between $700 million and $750 million.

The company said in a statement it expects the new acquisitions will help top line growth and also add at least $500 million in adjusted Ebitda by 2028. Tyrvaya, a nasal spray to treat dry eyes, got USFDA approval in October 2021.

“With the combination of Viatris' global commercial footprint, R&D and regulatory capabilities and supply chain, along with Oyster Point's deep knowledge of the ophthalmology space from a clinical, medical, regulatory and commercial perspective—including a commercial asset, Tyrvaya, for the treatment of dry eye disease— and Famy Life Sciences' Phase III-ready pipeline, the company believes it has the foundation to create a leading global ophthalmology franchise, accelerating efforts to address the unmet needs of patients with ophthalmic disease and the eye care professionals who treat them,” it said

“These acquisitions bring us an innovative growth asset, Tyrvaya, and five additional Phase III or Phase III-ready programs that give us a significant head-start in creating a leading ophthalmology franchise," said Michael Goettler, chief executive officer of Viatris.

The ophthalmology franchise will function as a separate division within the company and will be led by current Oyster Point CEO, Jeff Nau Ph.D., upon the closing of the transaction.

Viatris sold its biosimilars business to Biocon Biologics, and now it plans to focus on ophthalmology. Viatris was formed in late 2020 through the merger of Mylan and Pfizer's Upjohn unit.