Boulder’s Sonoma to joint produce, market products in Europe
BOULDER — Boulder-based Sonoma Pharmaceuticals Inc. (Nasdaq: SNOA) has inked an agreement with NovaBay Pharmaceuticals Inc. (NYSE American: NBY) to jointly sell and market Avenova-branded products by Sonoma in the European Union.
The new products will combine Sonoma’s existing eye product Ocudox, which has already received a Class IIB CE mark for sale in the European Union, with NovaBay’s Avenova branding. The products will be marketed through Sonoma’s established European distribution network. The agreement combines NovaBay’s knowledge of eye care reflected in its Avenova brand with Sonoma’s expertise in distributing hypochlorous acid products overseas.
Sonoma will manufacture Ocudox by Avenova with packaging similar to NovaBay’s Avenova products, which are a leading hypochlorous acid-based eye care product in the U.S. Sonoma will pay NovaBay a royalty fee based on net product sales of Ocudox by Avenova, and Sonoma will continue to market its Ocudox product in the European Union, according to a press statement from the companies.
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NovaBay is located in Emeryville, California.
“Sonoma has built a strong and growing presence in the European Union through a network of distributors and direct sales. We are excited to add Avenova-branded products to our offerings. At the same time, NovaBay has built strong brand recognition for Avenova in the dry eye market in the United States that we believe will resonate internationally,” Amy Trombly, CEO of Sonoma, said in a written statement. “Ocudox sales in the European Union are already an important component of our business, and we see plenty of room to expand our eye care offerings. We are excited to partner with NovaBay on this opportunity, which we believe will allow more people to benefit from a quality hypochlorous acid product to aid in the treatment and symptoms of blepharitis on the eyelid.”
The companies “are delighted that NovaBay will now be able to capitalize on sales of hypochlorous acid eye care products in the European Union. Sonoma’s CE mark includes a claim of treating blepharitis, the inflammation that typically affects the edges of the eyelids when tiny oil glands near the base of the eyelashes become clogged, causing irritation and redness. We’ve long asserted that blepharitis can lead to complications such as dry eye,” said Justin Hall, CEO and general counsel of NovaBay. “The EU market is comparable in size to the U.S., giving NovaBay the opportunity to double its sales of Avenova. NovaBay will continue to be the exclusive seller of Avenova branded products in the U.S.”