• Following non-conclusive partnering discussions, the company will assess further strategic alternatives for Cevira and Visonac
• Company still to focus on urology franchise, with continued commitment to driving growth in United States
Oslo, Norway, 5 April 2017: Photocure ASA (Photocure, OSE: PHO), today announces that the company will assess further strategic alternatives for its non-urology assets, Cevira and Visonac, in parallel with ongoing partner search. The company will focus on its urology franchise and its continued commitment to driving growth, particularly in the United States (U.S.).
The decision to initiate a broad review of possible strategic alternatives for Cevira and Visonac follows a non-conclusive comprehensive partnering process. Photocure has experienced substantial interest, with several possible partners having recognised the unmet medical need in the target therapeutic areas and engaged in thorough discussions and due diligence for both Cevira and Visonac. However, at this stage remaining development risk is expressed as a concern for establishing an optimal partnership for Cevira, while the current combination of drug and device is an expressed commercial concern for Visonac. Based on the input received in the partnering process, Photocure has decided to broaden its review of strategic alternatives for Cevira and Visonac.
Kjetil Hestdal, President & CEO, Photocure ASA, said, ”With the increasing focus on our urology franchise, we believe now is the time to re-assess our pipeline. While we have engaged in a comprehensive process of partnering for Visonac and Cevira, we have been disappointed with the progress and recent feedback. That said, while we are continuing with some discussions, we will now also assess strategic alternatives, including a sale, spin-outs or other strategic opportunities for these non-urology assets in the future“.
Photocure announced 15 February 2017, that the company sees a significant long-term value creation potential for its Hexvix/Cysview urology franchise. The company aims to capitalize on the inclusion in the AUA guidelines as well as the increased patient awareness to significantly increase penetration in the U.S. market. The company has an ambition to quadruple the U.S. revenues to USD 15 million by 2020.
Kjetil Hestdal, continued, “We see real opportunity in our urology franchise and we are committed to make further investments in our U.S. sales and marketing infrastructure in the coming years to drive growth. We have built considerable expertise in this specialist field, and believe this as an area where we have a potential to generate significant value, for all our stakeholders”.
For further information, please contact:
President & CEO Kjetil Hestdal
Tel: + 47 913 19 535
CFO Erik Dahl
Tel: +47 450 55 000