ABVC Receives $250K Payment, Vitargus Deal Worth Up to $93.5M

ABVC BioPharma, Inc. (NASDAQ: ABVC) 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 US$816,000. This significant financial milestone underscores the ongoing partnership between the two companies and provides meaningful support for advancing ABVC's ophthalmic programs. The licensing agreement, which centers on ABVC's investigational medical device Vitargus®, carries substantial financial potential with a total licensing fee of up to US$33.5 million and additional royalties capped at US$60 million, creating a maximum potential value of US$93.5 million for the innovative technology.

The core technology at the heart of this partnership is Vitargus®, ABVC's investigational vitreous substitute that represents a potential advancement over traditional silicone oil treatments. According to the comparison provided by the Company, Vitargus® offers several potential advantages as a bioabsorbable hydrogel that doesn't require surgical removal, unlike non-degradable silicone oil that typically necessitates a second surgery for removal. The technology also promises improved patient experience with normal mobility expected post-operation, eliminating the face-down positioning often required with silicone oil treatments. While Vitargus® remains an investigational device currently in clinical development, the market opportunity appears substantial, with industry reports projecting significant growth in both the vitreous substitute and broader ophthalmic device sectors.

Dr. Uttam Patil, ABVC's Chief Executive Officer, emphasized that the received payments will support the establishment of ABVC's Ophthalmic Research and Quality Verification Laboratory near the Hsinchu Science Park in Taiwan. This strategic investment will facilitate future clinical evaluations, AI-enabled image analysis, and product quality verification initiatives. The global market context further validates the partnership's timing, with the vitreous substitute market projected to grow 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 over US$95 billion during the same period, positioning this licensing agreement at the forefront of a rapidly expanding medical technology sector.