Allergan, Cambridge NeuroScience Agree on Collaboration Deal

Allergan Inc. said Thursday that it is teaming up with drug developer Cambridge NeuroScience Inc. to collaborate on potential treatments for glaucoma and other eye diseases.

Under the agreement, Allergan, an eye- and skin-products company, will buy 175,103 shares of Cambridge common stock for about $3 million, or $17.13 a share.

Allergan also will provide $3 million in funding for research over the next three years and will establish a $2-million line of credit for Cambridge.

Should the collaboration prove successful in developing glaucoma treatments, Cambridge will receive royalties on any product sales. The agreement could yield more than $20 million to Cambridge, the companies said.