Harrow Health Acquires Rights To Novartis' Five Approved Ophthalmic Products

Harrow Health Inc HROW entered a binding agreement to acquire the exclusive U.S. commercial rights to five FDA‑approved ophthalmic products from Novartis AG NVS.
This acquisition will further expand and diversify Harrow's portfolio of branded pharmaceutical products and its ability to serve the U.S. ophthalmic surgical and acute care markets.
Assuming this transaction closes during Q1 of 2023, Harrow expects 2023 net revenues of $135-$143 million and adjusted EBITDA of $44-$50 million.
Harrow will make a one-time payment of $130 million, with up to an additional $45 million payable in a milestone payment upon the commercial availability of TRIESENCE, which is expected in 2H of 2023.
Novartis will retain all rights to the products outside of the U.S.
Harrow commenced an underwritten registered public offering of $100 million aggregate principal amount of senior notes due 2027 to fund a portion of the purchase price payable for a previously announced acquisition.
The company also priced an underwritten registered offering of 2.37 million shares at $10.52 for aggregate gross proceeds of $25 million.
Price Action: HROW shares are up 6.31% at $11.80 on the last check Wednesday.