Bausch + Lomb to Acquire Xiidra from Novartis for $1.75 Billion in Strategic Move to Strengthen Dry Eye Portfolio

Intelligent Finance APP learned from informed sources that Bausch+Lomb (BLCO.US) will spend $1.75 billion to acquire Xiidra, a dry eye treatment drug from Novartis (NVS.US). According to informed sources, this deal is expected to be announced as early as Friday, which will be the first major deal since Bausch+Lomb's new CEO Brent Saunders took office. It is estimated that about 16 million people in the United States suffer from dry eye disease, and its prevalence is increasing partly due to the aging population.

Xiidra generated $487 million in sales for Novartis in 2022, competing with Allergan's drug Restasis. Before Allergan was acquired by AbbVie (ABBV.US) for $63 billion in 2020, Saunders served as the CEO of Allergan.

Saunders led Bausch + Lomb from 2010 to 2013, after which the company was sold to Valeant Pharmaceuticals International, which later formed the larger healthcare company Bausch Health (BHC.US). Bausch + Lomb will also be spun off from Bausch Health.