Alcon gains control of Aurion Biotech to advance cell therapy

SWITZERLAND – Alcon, a global leader in eyecare, has taken control of cell therapy start-up Aurion Biotech after acquiring a majority stake in the company.

This move ends a long battle for control and comes with changes in leadership, as Alcon has replaced Aurion’s CEO Greg Kunst with co-founder and former Chief Scientific Officer, Arnaud Lacoste.

In a statement, Alcon confirmed it will allow Aurion to operate as an independent company with Alcon’s support.

The goal is to push Aurion’s leading cell therapy program, AURN001, into a Phase 3 trial named CLARA, scheduled for the autumn.

This therapy aims to treat corneal edema resulting from corneal endothelial disease. Corneal edema causes swelling and vision problems, and current treatments often involve corneal transplants, which face limited donor availability worldwide.

Alcon’s acquisition follows months of conflict between the two companies. Alcon, which held about a 40% stake in Aurion, filed a lawsuit last November seeking veto rights to block an initial public offering (IPO) by Aurion. The lawsuit claimed Alcon, as a major stakeholder, had the right to prevent the IPO.

However, a judge dismissed Alcon’s argument, siding with Aurion and its other investors, including Deerfield Management, which owned around one-third of the company. They argued that Alcon’s real motive was to force a takeover at a reduced price.

Despite the legal setback, Alcon has now achieved its objective by increasing its stake in Aurion.

New CEO Arnaud Lacoste expressed optimism about the future, saying, “We founded Aurion four years ago, with the hope that we would eliminate a form of blindness that affects millions of patients worldwide. With Alcon’s support, we are one giant step closer to delivering on that goal.”

With Alcon’s backing, Aurion will have enhanced resources for research, regulatory approval, medical expertise, and commercial development.

David Endicott, Alcon’s CEO, praised Aurion’s progress, stating, “Dr. Lacoste and the Aurion team have done tremendous work, and their technology is a natural fit as we continue to expand our ophthalmic pharmaceutical portfolio.”

He also noted Alcon’s commitment to advancing innovative cell therapies in ophthalmology, adding, “We recognize the exciting potential of cell therapies in ophthalmology and look forward to assisting Aurion in this promising area of patient care.”

Aurion’s lead therapy, AURN001, consists of allogeneic human corneal endothelial cells (neltependocel) combined with a rho kinase inhibitor called Y-27632.

The treatment is designed to replace damaged or diseased corneal cells, offering an alternative to traditional corneal transplants. This cell therapy approach aims to address the ongoing shortage of donor corneal tissue worldwide.

AURN001 has already been approved for marketing in Japan, where it is used to treat bullous keratopathy, a corneal disorder that causes fluid buildup and vision impairment.