Much ado about ophthalmics

Since the inception of the biotech industry, ophthalmics has been somewhat of an orphan field. With the exception of QLT Inc., the few entrants have fallen off the radar or disappeared with barely a ripple, while the old-line big cap companies have added little excitement.

Evidence of change began to appear last year, when Eyetech Pharmaceuticals Inc. (New York, N.Y.) raised $108.5 million in the second largest funding round of 2001 (see BioCentury, Aug. 13, 2001). And last week, the company announced the largest ophthalmic product deal ever, partnering its Macugen pegaptanib VEGF-binding aptamer to treat AMD and diabetic macular edema (DME) with Pfizer Inc. PFE (New York, N.Y.) will pay $100 million upfront, plus up to $195 million in regulatory milestones and up to $450 million in sales-based milestones. The partners will co-promote the product in the U.S. and PFE will market Macugen elsewhere (see "Strategy," A11). ...