Novakar, Endo continue collaboration in $17.5 million product financing deal

Nevakar, ophthalmology specialist pharmaceutical company has entered into a $17.5 million product financing agreement with an affiliate of H.I.G. Capital Partners, L.P. for the continued development of five differentiated, sterile injectable products.

Nevakar said in the press release that, in relation to agreement, it will develop and seek U.S. Food and Drug Administration (FDA) approval for these five products, while Endo has the ability to launch and distribute the products upon approval through its Sterile Injectables Segment, doing business as Par Sterile Products.

Nevakar noted it has filed its first of five 505(b)(2) applications with the FDA in September 2019.

Navneet Puri, the founder, the Chairman and Chief Executive Officer of Nevakar, said that this agreement, coming after Nevakar’s licensing agreement with Endo further validates Nevakar’s pipeline and business model while bolstering its ability to advance its current and anticipated programs.

Alex Zisson, Managing Director at H.I.G. Capital Partners, said: “The H.I.G. investment brings together a non-dilutive product funding solution to support Nevakar’s exciting pipeline of programs. We are pleased to be able to work with Nevakar and NovaQuest in support of the products covered by this agreement and the proven value generated by complex 505(b)(2) products. We look forward to continuing to work with the Nevakar team on these and other potential opportunities that further our goal of providing unique funding solutions in the life science industry.”

In second-quarter 2018 report, Endo said it entered into an exclusive licensing agreement with Nevakar, a specialty pharmaceutical company developing multiple assets in the ophthalmic and injectable areas, for the development of five differentiated, sterile injectable products in the U.S. and Canada. According to the agreement, Nevakar will develop and seek U.S. Food and Drug Administration (FDA) approval for those products and Endo’s Par Pharmaceuticals Sterile Products division will launch and distribute them upon approval. In July, the segment launched ertapenem for injection, the authorized generic of Invanz, a registered trademark of Merck Sharp & Dohme Corp.