Harrow Inc. (NASDAQ:HROW) on Thursday agreed to acquire Tyrvaya (varenicline solution) nasal spray 0.03 mg from Viatris Inc. (NASDAQ:VTRS).

Viatris To Sell Tyrvaya To Harrow In Up To $100 Million Deal

Tyrvaya is a cholinergic agonist indicated for signs and symptoms of dry eye disease and is currently approved in the U.S., China, and Taiwan, with marketing authorization applications pending in other countries.

Harrow will pay $30 million in cash and up to $70 million in contingent milestone payments tied to Tyrvaya’s net sales, for a potential total consideration of up to $100 million.

The transaction is expected to close in the second half of 2026.

Viatris Q2 Performance

Viatris on Thursday reported second-quarter adjusted earnings of 69 cents per share, beating the consensus of 60 cents.

The generic drug maker reported sales of $3.756 billion, ahead of the consensus of $3.675 billion.

Sales jumped 5% year over year (+3.5% on an operational basis), primarily driven by new product sales in Developed Markets and strong growth in Greater China.

“Our second-quarter results reflect another quarter of strong execution and reinforce the momentum we’re building across our business,” said Scott A. Smith, CEO, Viatris. “Commercial execution, pipeline progress and the early benefits of our enterprise-wide strategic review continue strengthening our business and improving our financial performance.”

In the company earnings conference call, Viatris said the Tyrvaya deal will help it focus on high-potential growth areas, particularly in complex generics and transdermal products, as well as continued investment in the Greater China market.

Viatris Raises 2026 Earnings And Sales Guidance

“Our strong first-half results give us the confidence to raise our full-year guidance. We expect a more balanced operating environment in the second half of the year, and we remain focused on disciplined execution, investing behind our future growth drivers and creating long-term value for patients and shareholders,” Smith said.

Viatris raised its fiscal 2026 adjusted earnings guidance from $2.33-$2.47 per share to $2.45-$2.49 compared to the consensus of $2.44.

The company raised its 2026 sales guidance from $14.45 billion-$14.95 billion to $14.55 billion-$14.95 billion versus the Wall Street estimate of $14.783 billion.

VTRS Price Action: Viatris shares were down 4.16% at $16.91 at the time of publication on Thursday, according to Benzinga Pro data.

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