QLT has completed the sale of its Visudyne (verteporfin for injection) business to Valeant Pharmaceuticals International. Visudyne is a photodynamic therapeutic treatment approved worldwide for certain forms of wet age-related macular degeneration.
Under the terms of the agreement, QLT received a payment of C$112.5 million at closing and is eligible to receive additional amounts in contingent payments. In total, C$50 million of the initial purchase price is for the right to receive royalties on Visudyne sales outside of the US under a licence agreement with Novartis and the right to supply Visudyne to Novartis for sales outside of the US; and C$62.5 million of the initial purchase price is for the rights and assets of the Visudyne business in the US. QLT is eligible to receive up to C$5 million in contingent payments relating to the development of its laser programme in the US, up to C$15 million in contingent payments relating to the Novartis non-US royalties and a royalty on net sales of new indications for Visudyne, if any should be approved.