BRIDGEWATER, N.J., Aug. 30, 2021 (GLOBE NEWSWIRE) — Osmotica Pharmaceuticals plc (Nasdaq: OSMT), a specialty pharmaceutical company, today announced that it has closed the previously announced sale of its legacy business, including certain of the Company’s US subsidiaries dedicated to the legacy business and its Marietta, Georgia, manufacturing facility, to Alora Pharmaceuticals, LLC , effective August 27, 2021. The divestiture is central to the Company’s strategy to focus its efforts and resources on UPNEEQ, the first and only FDA-approved product for the treatment of acquired ptosis (droopy eyelid) in adults. The proceeds of the sale will be used to retire a substantial portion of the Company’s outstanding debt. Total closing proceeds received for the transaction were approximately $111 million, subject to customary post-closing adjustments.
“With the divestiture of our legacy business now complete, we can focus fully on accelerating the commercial expansion of UPNEEQ. Adoption and utilization of UPNEEQ has continued to grow among eye care professionals as we seek to create a new category in ocular aesthetics. This is an exciting time for the Company and for the brand, as we work to capture the full potential of this unique asset,” stated Brian Markison, CEO of Osmotica.
“Since the initial announcement of the acquisition, we have worked closely with the Osmotica, Vertical and Trigen teams to ensure a smooth transition of the businesses to the Alora family,” added Art Deas, CEO of Alora. “We look forward to growing the Vertical and Trigen line of products and expanding the production of the Marietta, Georgia facility.”
Barclays Bank PLC and Jefferies LLC acted as financial advisors, and Ropes & Gray LLP is acted as legal advisor to Osmotica. TAP Advisors acted as exclusive financial advisor, and Nelson Mullins Riley & Scarborough LLP acted as legal advisor, to Alora on the transaction. CIBC Bank USA arranged financing for the acquisition.
About Osmotica Pharmaceuticals
Osmotica Pharmaceuticals plc (Nasdaq: OSMT) is a specialty pharmaceutical company focused on the commercialization and development of products that target markets with underserved patient populations. RVL Pharmaceuticals, Inc. is the Company’s ophthalmic subsidiary supporting UPNEEQ®.
