Eton Pharma Shares Tick Higher After Offloading Hospital Products

  • Eton Pharmaceuticals Inc ETON has sold its hospital products to Dr. Reddy's Laboratories SA, a subsidiary of Dr. Reddy's Laboratories Ltd RDY, for $50 million.
  • "The sale of our hospital products allows us to focus our resources on our core rare disease business, which is rapidly growing, and also provides an attractive opportunity to monetize the value we have created with our hospital products," said CEO Sean Brynjelsen, CEO of Eton.
  • Dr. Reddy's purchased the Biorphen, Rezipres, and Cysteine Hydrochloride products. Eton will continue to sell its existing Biorphen ampule inventory until the end of 2022.
  • Eton received approximately $5 million at closing and will receive additional milestone-based payments of up to $45 million.
  • Following the transaction, Eton's commercial activities will solely focus on rare disease products with a portfolio of four product candidates, two of which are currently FDA-approved commercial products, including Alkindi Sprinkle and Carglumic Acid tablets.
  • Eton's Dehydrated alcohol injection for methanol poisoning has been submitted to the FDA and has received orphan drug designation.
  • ZENEO hydrocortisone autoinjector for the potential treatment of adrenal crisis is expected to be submitted to the FDA in 2023.
  • Eton's royalty portfolio is now eligible to receive up to $70 million in future milestone payments from six different products, plus royalties on sales from four products.
  • Price Action: ETON shares are up 6.53% at $3.10 on the last check Friday.

Posted In: BriefsBiotechM&ANewsPenny StocksHealth CareMoversTrading IdeasGeneral

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.