Vision products giant Alcon is expanding its offerings for the eyes through the $550 million acquisition of Neurotech Pharmaceuticals, a company that developed and commercialized the only FDA-approved therapy for a rare retinal degeneration disorder.
Neurotech’s Encelto is currently available only in the U.S. With the acquisition announced late Tuesday, the product is now in the hands of a global company with the experience and resources to develop and commercialize it in more markets.
The rare disease is macular telangiectasia type 2 (MacTel). It’s a progressive retinal disorder that leads to abnormal development of blood vessels in the center of the retina. Over time, patients develop blurred vision and loss of central vision. The cause of MacTel, which typically appears in middle-aged adults, is unknown. Alcon estimates that there are about 25,000 MacTel patients in the U.S.; about 2,000 to 3,000 new patients are diagnosed with the disorder each year.
Encelto is comprised of allogeneic retinal pigment epithelial cells that are genetically engineered to express human ciliary neurotrophic factor (CNTF), a protein that is thought to trigger signaling events that promote the survival of photoreceptors in the eye. These cells are encapsulated in a semi-permeable capsule. Implanted into the eye, the capsule releases therapeutic protein locally in the retina. Cumberland, Rhode Island-based Neurotech received FDA approval for Encelto last year. It’s the privately held biotech’s only commercial asset.
Alcon operates two business segments, Vision Care and Surgical. The Surgical segment spans products for cataracts, vitreoretinal disorders, and glaucoma. It includes implantables, such as PanOptix, a lens that’s implanted after cataract removal. For the first half of 2026, the Surgical segment accounted for $3 billion in sales, a 9% increase compared to the same period last year, according to Alcon financial reports.
The last new addition to Alcon’s surgical portfolio was LumiThera, a privately held company that developed and commercialized Velda, a medical device that treats dry age-related macular degeneration. In September 2025, Alcon paid $124 million to acquire the shares of LumiThera it did not already own. Earlier in the year, Alcon acquired a majority stake in Aurion Biotech, a startup developing a cell therapy that could become an alternative to corneal transplants.
The Neurotech acquisition continues Alcon’s pursuit of cell therapies. The Swiss company gains a commercialized cell therapy along with the platform technology that developed it. That platform could serve as a launching pad for more cell therapies for eye diseases.
“Neurotech’s innovative platform sits at the intersection of cell therapy, pharmaceuticals, and surgery, making it a highly complementary addition to our current capabilities and advancing our vision for the future of retinal disease treatment,” Alcon CEO David Endicott said in a prepared statement. “By combining Neurotech’s groundbreaking science and established commercial footprint with Alcon’s global reach and clinical expertise, we can help bring this innovation to more patients whose vision is threatened by MacTel.”
Geneva-based Alcon is the former eye care division of Novartis. In 2019, Alcon spun out as a standalone company with shares trading on the SIX Swiss Exchange and the New York Stock Exchange. The $550 million that Alcon paid to buy Neurotech is an upfront sum. Neurotech shareholders could receive more tied to the sales of Encelto, but details about those milestone payments were not disclosed.
Photo: Peter Frommenwiler/Bloomberg, via Getty Images
