ATLANTA, March 18 Alimera Sciences today announced that ithas closed a Series C financing round of $30 million with all five of thecompany's existing venture capital firms exercising the right to participateat their full pro rata share.
The proceeds from the Series C will enable Alimera to, as previouslyannounced, acquire a majority stake in Medidur(TM) FA, the company's Phase IIIinvestigative treatment for diabetic macular edema (DME), from developmentpartner pSivida Ltd (Nasdaq: PSDV, ASX: PSD, Xetra: PSI) and fund theremaining development obligations for the product.
Under the new agreement, Alimera will assume pSivida's Medidur FAdevelopment responsibilities and increase its share of future profits from 50to 80 percent. For this increased equity in Medidur FA, Alimera has paidpSivida $12 million in cash and has issued a $15 million note (which wouldaccrue interest of up to $6 million over the life of the note) and will makean additional $25 million milestone payment upon FDA approval of the product.Alimera Sciences will also assume pSivida's remaining development obligations.
"Alimera is fortunate to have received continued support from ourinvestors who share our confidence in the potential Medidur FA can bring tothe many sufferers of DME," said Dan Myers, President and CEO of AlimeraSciences.
In connection with this acquisition, Alimera will complete the licensingof the Medidur technology for use with NADPH oxidase inhibitors recentlyobtained from Emory University. Alimera is pursuing a treatment for dry AMDwith these compounds.
"Alimera will now also have solidified access to the Medidur deliveryplatform for our announced NADPH oxidase inhibitors for the treatment of dryage-related macular degeneration (AMD)" said Myers.
Diabetic retinopathy (DR), a complication of diabetes mellitus, is theleading cause of blindness in the working-age population of developedcountries. At any time during progression of diabetic retinopathy, patientscan develop DME which involves retinal thickening of the macular area. In theUnited States, as many as 200,000 people are diagnosed with DME each year andan estimated 1,000,000 people suffer from DME. Currently, there are no FDAapproved drug treatments for DME.
About Alimera Sciences Inc.
Alimera Sciences Inc. is singularly focused on the development andcommercialization of prescription ophthalmology pharmaceuticals. Founded by anexecutive team with extensive development and revenue growth expertise,Alimera Sciences' products are focused on improving the delivery oftherapeutic agents to enhance patients' lives and strengthen physicians'ability to manage ocular conditions.
Alimera completed enrollment in October 2007 of its 956-patient Phase IIIclinical trial of fluocinolone acetonide in the Medidur(TM) drug deliverysystem for the treatment of diabetic macular edema. Alimera has also hasentered into an exclusive worldwide agreement with Emory University to exploreoxidative stress management -- specifically the reduction of reactive oxygenspecies (ROS) -- as a treatment for ophthalmic diseases. The agreement givesAlimera the exclusive option to license compounds which are NADPH(nicotinamide adenine dinucleotide phosphate reduced form) oxidase inhibitorsas potential treatments for conditions such as the dry form of age-relatedmacular degeneration (AMD), particularly the late stage of this conditionknown as geographic atrophy. Alimera retains the right to use the Medidurdelivery system for two of these compounds. For more information, please visithttp://www.alimerasciences.com.
SOURCE Alimera Sciences Inc.