NovaBay Pharmaceuticals has agreed to divest its Avenova brand and business to PRN Physician Recommended Nutriceuticals, a subsidiary of dietary supplements company Acumen Health, for $9.5m in cash.
Avenova offers products for ocular health, including absorbent wipes, cleansing sprays, and heated eye masks. Its flagship product is Avenova Lid & Lash Cleansing Spray, a hypochlorous acid solution for eye hygiene.
Manufactured in the US, Avenova Lid & Lash Cleansing Spray is intended for blepharitis and dry eye disease. The spray is formulated with NovaBay’s patented and proprietary hypochlorous acid.
NovaBay Pharmaceuticals CEO Justin Hall said: “This transaction allows our stockholders to more fully realise the value we have created over the past 10 years with the Avenova brand.
“We are particularly pleased to place Avenova with PRN, a well-established eyecare company that shares our commitment to providing best-in-class products that support ocular health.
“I believe we have found an ideal home for Avenova. We expect the brand to continue to grow and flourish under PRN’s capable leadership and their ability to promote Avenova through their existing network of more than 5,000 eyecare professionals.”
This acquisition is expected to enhance PRN’s portfolio and help deliver eye health products.
Acumen’s subsidiary plans to use its sales team and relationships with optometrists and ophthalmologists to increase access and awareness of Avenova products.
This deal aligns with PRN’s strategy to expand its presence in the eye health market both organically and through acquisitions.
Avenova will be PRN’s sixth add-on acquisition in the past five years.
Acumen Health CEO Scott Woodruff said: “The Brand pioneered the use of hypochlorous acid in eyecare and has a long history of success in the professional channel.
“This exciting acquisition broadens PRN’s existing eye health product portfolio and allows PRN to better serve patients through offering an expanded suite of science-based eye health products.”
The deal is expected to close in Q4 2024, pending customary closing conditions, and approval from NovaBay stockholders.
