Akorn, Merck sales and marketing update

Akorn will acquire U.S. rights to ophthalmic products AzaSite 1% azithromycin, Cosopt and Cosopt PF dorzolamide/timolol maleate from Merck's Inspire Pharmaceuticals Inc. subsidiary for $52.8 million in cash. Merck will supply the products to Akorn for two years. Akorn plans to start shipping Cosopt and Cosopt PF upon closing of the deal and AzaSite in 1Q14. Akorn said this deal provides the company a platform to support future acquisitions and licensing of other branded ophthalmic products. The deal is expected to add $34-$38 million in revenue and $0.09-$0.11 non-GAAP net income per diluted share in 2014.

Cosopt is a topical carbonic anhydrase inhibitor and adrenergic receptor beta ( ADRB) blocker that is approved to treat intraocular pressure in patients with open-angle glaucoma or ocular hypertension that did not have an adequate response to ADRB blockers alone. Cosopt PF is a preservative-free formulation. Merck had $9 million in U.S. sales in 1H13 of Cosopt and Trusopt dorzolamide, which is a topical ophthalmic formulation that only contains the carbonic anhydrase inhibitor. ...