Aclaris Therapeutics Inc. has agreed to buy worldwide rights for skin treatment Rhofade from Dublin-based Allergan PLC for $65 million in up-front cash.
Wayne, Pa.-based Aclaris said the deal also includes a milestone payment related to the development of an additional skin therapy and royalties on the product's sales.
Rhofade was approved by the U.S. Food and Drug Administration in 2017 to treat persistent redness associated with the skin condition rosacea in adults. Allergan gained access to Rhofade through its 2011 acquisition of Vicept Therapeutics Inc., a company founded by the current senior management of Aclaris.
The deal was signed with Allergan unit Allergan Sales LLC and is expected to close in the fourth quarter of 2018, subject to certain regulatory clearances. The company expects to tap synergies by leveraging its current sales force in the U.S. which is already trained in selling its skin therapy Eskata.
Rhofade is expected to add to Aclaris' EBITDA from the fourth quarter of 2019, Aclaris said. The company said that about 16 million Americans are affected by rosacea, citing statistics from the National Rosacea Society.