Ligand Acquires Royalty and Milestone Interest in Santen’s Ryjunea® from Sydnexis for $23 Million

Ligand (LGND) is acquiring a royalty and milestone interest in Santen’s eye drop Ryjunea for a $23 million upfront payment.

Rhea-AI Summary

Ligand (LGND) is acquiring a royalty and milestone interest in Santen’s eye drop Ryjunea for a $23 million upfront payment.

The deal gives Ligand a 100% interest in certain payments under Sydnexis’s existing license with Santen, including an ascending, tiered low-double-digit to high-teens royalty on Ryjunea net sales in Europe, the Middle East, and Africa, plus specified milestone payments. Ryjunea, a once-nightly 0.01% low-dose atropine eye drop using deuterated water, is designed to slow myopia progression in children aged 3–14 with defined severity and progression criteria.

Ryjunea was approved by the European Commission in June 2025 and by the UK MHRA in October 2025 as the first and only pharmacologic treatment to slow pediatric myopia progression in these regions. Sydnexis retains commercial rights in the United States and other non-Santen territories.

Positive

• $23 million buys 100% interest in specified Ryjunea royalty and milestone payments
• Acquired royalty is tiered low-double-digit to high-teens on EMEA net sales
• Ryjunea already approved by EU and UK regulators, lowering regulatory risk for royalty stream
• Transaction adds ophthalmology-focused, pediatric myopia asset to Ligand’s royalty portfolio

Negative

• Ligand pays a cash upfront of $23 million to secure the royalty interest

Market Context

Before publication, LGND was up 2.32% on 1.14x average volume; the announcement added a royalty-asse...

Analysis

Before publication, LGND was up 2.32% on 1.14x average volume; the announcement added a royalty-asset transaction to the company’s recent portfolio-expansion activity.

Key Figures

Upfront payment: $23 million Acquired payment rights: 100% interest Royalty rate: Low-double-digit to high-teens +5 more

Upfront payment

$23 million

Ryjunea royalty and milestone interest acquisition

Acquired payment rights

100% interest

Certain payments and related rights under Sydnexis's Santen license

Royalty rate

Low-double-digit to high-teens

Tiered royalty on Ryjunea net sales in EMEA

Eligible patient age

3-14 years

Stated treatment population

Progression rate

0.5 D or more per year

Stated treatment indication

Atropine formulation

0.01%

Standardized formulation for pediatric patients

European Commission approval

June 2025

Ryjunea approval in Europe

UK MHRA approval

October 2025

Ryjunea approval in the United Kingdom

Key Terms

pharmacologic treatment, mhra, deuterated water, gmp, +1 more

5 terms

pharmacologic treatment medical

"the first and only pharmacologic treatment approved by the European Commission"

Use of drugs or medicinal compounds—small molecules, biologic therapies, vaccines, or similar agents—to prevent, diagnose, relieve, or cure a disease or its symptoms. Think of it as a specific tool in a medical toolbox that is tested for dose, safety and effectiveness through clinical trials and regulated approvals; its success or failure affects a drug developer’s ability to sell a product, obtain reimbursement, and generate revenue, which matters to investors.

mhra regulatory

"UK Medicines and Healthcare products Regulatory Agency (“MHRA”)"

The MHRA is the United Kingdom’s government agency that checks and approves medicines, medical devices and vaccines before they can be sold, and monitors their safety once on the market. For investors, MHRA decisions act like a building inspector’s sign-off or a traffic controller’s clearance—approval clears the way for sales and revenue, while safety warnings, recalls or delays can slow launches, raise costs or hurt a product’s commercial prospects.

deuterated water technical

"formulation of atropine with deuterated water designed to improve efficacy"

Deuterated water is water in which the normal hydrogen atoms are replaced by deuterium, a stable hydrogen isotope that is twice as heavy; chemists often call it D2O or “heavy water.” It matters to investors because it is a specialized raw material used in scientific instruments, pharmaceutical research, tracer studies and some manufacturing processes, so demand, supply constraints or regulatory controls can affect revenues and costs for companies that produce or use it.

gmp regulatory

"a stable, clinically validated, and GMP manufactured option"

Good Manufacturing Practice (GMP) is a set of regulatory standards and procedures that ensure products—especially medicines, medical devices, and related goods—are consistently made to meet safety, quality, and purity requirements. For investors, GMP compliance is like a factory’s hygiene and checklist system: it reduces the risk of product recalls, regulatory fines, and production stoppages, supports market access, and signals more reliable, lower-risk operations that can protect revenue and reputation.

royalty interest financial

"acquired an ascending tiered royalty interest in Santen Pharmaceutical"

A royalty interest is a contractual right to receive a portion of revenue or production from an asset—such as a mine, oil well, patent, or drug—without owning or operating the underlying business. Investors value royalties because they provide a form of passive, often predictable cash flow that depends on how much the asset produces and the price it commands; think of it as collecting rent on someone else’s income-producing property, with returns tied to output and market prices.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Ryjunea is the first and only pharmacologic treatment approved by the European Commission and UK MHRA to slow myopia progression in pediatric patients

Ligand will receive a tiered low-double-digit to high-teens royalty on Ryjunea net sales in Europe, the Middle East, and Africa

JUPITER, Fla., Sept. 22, 2026 (GLOBE NEWSWIRE) -- Ligand Pharmaceuticals Incorporated (Nasdaq: LGND) today announced it has acquired an ascending tiered royalty interest in Santen Pharmaceutical Co., Ltd.’s (“Santen”) Ryjunea® from Sydnexis, Inc. (“Sydnexis”) for a $23 million upfront payment.

Ryjunea is a once-nightly, low-dose atropine eye drop designed to slow progression of myopia (commonly known as nearsightedness) in pediatric patients. Treatment may be indicated in children aged 3-14 years with a progression rate of 0.5 D or more per year and a severity of -0.5 D to -6.0 D. The product uses a standardized 0.01% formulation of atropine with deuterated water designed to improve efficacy, comfort, and stability in the pediatric population. Santen licensed rights to Ryjunea in Europe, the Middle East, and Africa (“EMEA”) from Sydnexis in 2021. Ryjunea was approved by the European Commission in June 2025 and the UK Medicines and Healthcare products Regulatory Agency (“MHRA”) in October 2025.

“Ryjunea represents the type of differentiated asset we look to add to our expanding royalty portfolio. As the first and only approved pharmacological treatment in the European Union and the United Kingdom for slowing pediatric myopia, Ryjunea addresses a significant market need by providing a stable, clinically validated, and GMP manufactured option to manage this chronic condition. Santen has built a strong ophthalmology presence across Europe and has identified myopia as a key strategic growth area, giving us confidence in the product’s long-term commercial potential,” said Todd Davis, CEO of Ligand.

Under the terms of the agreement, Ligand will pay $23 million upfront to acquire a 100% interest in certain payments and related rights under Sydnexis’s existing license agreement with Santen. The acquired payment rights include a tiered low-double-digit to high-teens royalty on Ryjunea net sales in EMEA, as well as certain milestone payments. Sydnexis retains commercial rights to Ryjunea in the U.S. and all other non-Santen licensed territories.

Myopia is a condition in which the focal point for distant objects is in front of the retina, instead of directly on it, and results in vision loss. It has been reported that, in addition to affecting patient quality of life, the progression to “high myopia” increases the risk of severe ocular complications that can lead to permanent visual impairment or blindness. In Europe, approximately 1 in 3 children and adolescents are projected to be affected by myopia by 2050,¹ and Santen estimates 14 million patients were affected in 2025.²

McDermott Will & Schulte LLP and Cooley LLP served as legal advisors to Ligand.

About Ligand
Ligand is a leading royalty aggregator, partnering with biopharmaceutical companies to finance and advance late-stage clinical development programs. Ligand owns and manages one of the largest and most diversified portfolios of biopharmaceutical royalties in the industry, with economic interests in more than 200 development and commercial-stage assets. Ligand funds high-value programs in exchange for long-term economic interests, aligning capital with clinical and commercial success. Ligand’s royalty portfolio is designed to deliver consistent and predictable revenue streams across a broad range of therapeutic assets. Ligand also licenses its proprietary technologies, Captisol® and NITRICIL™, to support drug development and formulation across its global partner network. For more information, visit www.ligand.com or follow Ligand on X and LinkedIn.

Forward-Looking Statements

This press release contains forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “potential,” “seek,” “future,” “outlook” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements relating to Ryjunea’s commercial potential; the size and growth of the market for treatments for pediatric myopia; Santen’s commercialization, market access and other activities relating to Ryjunea; future sales of Ryjunea; Ligand’s expected receipt of royalties, reimbursement approval milestones and sales milestones relating to Ryjunea and Ligand’s royalty portfolio strategy and expected revenue characteristics.

These statements are based on various assumptions and on the current expectations of Ligand’s management and are not predictions of actual performance. Actual events and circumstances are difficult or impossible to predict and may differ from assumptions, many of which are beyond Ligand’s control. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Risks and uncertainties include, among other things, Ligand’s reliance on Santen and other third parties for the commercialization, manufacture and sale of Ryjunea and for the payment of royalties and milestones; the possibility that Ryjunea sales may be lower than expected; the timing, availability and scope of regulatory, pricing and reimbursement approvals; competition from compounded atropine, optical treatments and existing or future pharmaceutical products; changes in market acceptance, prescribing practices or treatment guidelines; the possibility that applicable royalty rates may be reduced under the underlying license agreement; challenges to, or the expiration or invalidation of, intellectual property rights relating to Ryjunea; and the other risk factors discussed under the heading “Item 1A. Risk Factors” in the Ligand’s Annual Report on Form 10-K for the year ended December 31, 2025 (filed February 27, 2026) and Quarterly Reports on Form 10-Q for the quarter ended March 31, 2026 (filed with the SEC on May 8, 2026) and for the quarter ended June 30, 2026 (filed with the SEC on August 7, 2026). Ligand cautions against placing undue reliance on these forward-looking statements, which speak only as of the date of this press release, and undertakes no obligation to update any forward-looking statements except as required by law.

Contacts

Investors:
Melanie Herman
investors@ligand.com
(858) 550-7761

Media:
Kellie Walsh
media@ligand.com
(914) 315-6072

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¹ Liang J, et al. Br J Ophthalmol. 2024; bjo–2024–325427.
² Santen Pharmaceutical Co., Ltd., Santen Report 2025. https://www.santen.com/content/dam/santen/global/pdf/en/ir/document/202503/ar2025e.pdf

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What geographic territories are covered by Ligand’s newly acquired Ryjunea royalty interest?

The acquired royalty covers Ryjunea net sales in Europe, the Middle East, and Africa (EMEA) under Santen’s license from Sydnexis. Ligand’s rights apply only to these Santen-licensed territories.

Who retains commercial rights to Ryjunea outside the Santen-licensed EMEA region?

Sydnexis retains commercial rights to Ryjunea in the United States and in all other territories that are not licensed to Santen.

What is Ryjunea’s approved use and target patient population?

Ryjunea is a once-nightly, low-dose 0.01% atropine eye drop designed to slow myopia progression in pediatric patients. Treatment may be indicated in children aged 3–14 years with a myopia progression rate of 0.5 D or more per year and a severity between -0.5 D and -6.0 D.