ABVC BioPharma Receives Additional $250,000 Payment in Vitargus® Licensing Deal Potentially Worth $93.5 Million

ABVC BioPharma has received an additional US$250,000 payment from ForSeeCon Eye Corporation under their existing ophthalmic medical device licensing agreement, bringing total payments received to date to US$816,000. The licensing agreement for Vitargus®, ABVC's investigational vitreous substitute, carries a total potential value of up to US$93.5 million when combining the US$33.5 million licensing fee and US$60 million royalty cap.

The licensing structure includes an upfront payment of US$30 million in ForSeeCon shares valued at US$6 per share and a milestone payment of US$3.5 million due 30 days after completion of ForSeeCon's next fundraising round. Additionally, the agreement includes royalties of 5% of net sales, payable quarterly and capped at US$60 million. This substantial financial commitment reflects the potential market significance of Vitargus® in the growing ophthalmic medical device sector.

Dr. Uttam Patil, ABVC's Chief Executive Officer, stated that the cumulative payments provide meaningful support for advancing the company's ophthalmic programs. The agreement's total licensing value of up to US$33.5 million demonstrates ForSeeCon's long-term commitment to the Vitargus® technology. Industry reports cited by Patil indicate significant growth potential in the vitreous substitute market, projected to expand from approximately US$2.5 billion in 2024 to US$3.61 billion by 2032, representing a 6.3% compound annual growth rate.

The broader ophthalmic medical device market shows even more substantial growth potential, estimated to increase from US$63 billion to more than US$95 billion during the same period according to market research from Verified Market Research. This expansion reflects increasing global demand for advanced ophthalmic treatments and devices.

ABVC provided a comparison between Vitargus® and traditional silicone oil, the current standard vitreous substitute. Unlike non-degradable silicone oil that requires removal through a second surgery, Vitargus® is a bioabsorbable hydrogel that gradually absorbs without additional surgical intervention. The product comparison also indicates that Vitargus® may allow normal postoperative mobility rather than requiring face-down positioning often needed with silicone oil treatments. Traditional silicone oil carries potential long-term issues including emulsification and elevated intraocular pressure, while early data shows Vitargus® demonstrates biocompatibility.

Part of the received payments will support establishing ABVC's Ophthalmic Research and Quality Verification Laboratory near the Hsinchu Science Park in Taiwan. This facility is intended to assist with future clinical evaluations, AI-enabled image analysis, and product quality verification initiatives. The laboratory represents ABVC's commitment to advancing ophthalmic research and development capabilities as the company progresses Vitargus® through clinical development.

The clinical implications of Vitargus® could be substantial for retinal surgery patients worldwide. By eliminating the need for second surgeries and potentially reducing postoperative complications, the technology addresses significant unmet needs in vitreoretinal surgery. As noted in industry publications such as Retina Today, current silicone oil treatments present various clinical challenges that next-generation vitreous substitutes aim to overcome.

ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device under development. For its drug products, the company utilizes in-licensed technology from research institutions including Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. The company intends to conduct pivotal clinical trials for Vitargus® through global partnerships, positioning the technology for potential international market adoption.