EYPT - Why Is Alimera Sciences (ALIM) Stock Up 21% Today?
2023-05-18 10:52:19 ET
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Alimera Sciences (NASDAQ: ALIM ) stock is taking off on Thursday after signing a major deal with EyePoint Pharmaceuticals (NASDAQ: EYPT ).
That agreement has Alimera Sciences acquiring additional commercialization rights for YUTIQ from EyePoint. The deal has the company acquiring the U.S. commercial rights to the drug with an upfront payment of $75 million. Alimera will also pay another $7.5 million in quarterly payments next year.
Alimera Sciences will pay potential royalty payments to EyePoint Pharmaceuticals between 2025 and 2028 as well. The thresholds for these payments start with revenue of $70 million in 2025 and will increase each year afterward on an annual basis.
Rick Eiswirth, President and CEO of Alimera Sciences, said the following about the news:
“This is a landmark transaction for Alimera, bringing critical mass to our revenue base and leveraging the commercial infrastructure we have built in the U.S. We know this product very well, having marketed ILUVIEN for the uveitis indication in Europe and the Middle East for several years now. We believe there are immediate synergies in adding YUTIQ to our portfolio that will be accretive to revenue, Adjusted EBITDA and cash flow in the second half of 2023.”
ALIM Stock Movement Today
Investors are celebrating today’s news by buying more shares of ALIM stock. This has the company seeing heavy trading with some 22 million shares on the move. For the record, its daily average trading volume is closer to 24,000 shares.
ALIM stock is up 21.4% as of Thursday morning but still down 16.4% since the start of the year.
Investors can find more of the most recent stock market news below!
We’ve got all of the latest stock market stories ready to go for Thursday! A few examples include why Teva Pharmaceuticals (NYSE: TEVA ) stock is up, Albemarle (NYSE: ALB ) price predictions and Sony (NYSE: SONY ) spinoff news. You can get up to speed on all of these matters at the following links!
More Thursday Stock Market News
- Why Is Teva Pharmaceuticals (TEVA) Stock Up Today?
- Albemarle Price Predictions: Is ALB Stock Really Worth $255?
- SONY Stock Alert: What to Know as Sony Considers Spinoff
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines .
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