MeiraGTx Holdings plc (NASDAQ:MGTX) shares are down Thursday following the company’s announcement of an asset purchase agreement with Johnson & Johnson (NYSE:JNJ) to reacquire bota-vec, a treatment for X-linked retinitis pigmentosa (XLRP).

XLRP is a severe, progressive genetic eye disease causing early-onset night blindness and peripheral vision loss, leading to legal blindness by age 40–45.

MeiraGTx is a clinical-stage genetic medicines company with a pipeline of four late-stage clinical programs.

MeiraGTx Deal Structure And Regulatory Timeline In Focus

The news has generated optimism among investors as the company aims to expedite regulatory filings, which could lead to a significant market opportunity for this therapy.

The company will pay Johnson & Johnson a $25 million upfront cash payment and a one-time regulatory milestone tied to U.S. approval and sales performance of bota-vec starting mid-2029.

In reacquiring bota-vec, MeiraGTx intends to expeditiously file for approval in the U.S. and EU with the aim of a potential launch in ...