Clearside's Fall: Prized Eye-Drug Platform Hits the Auction Block

ALPHARETTA, GA – November 24, 2025 – In a stark reminder that clinical success does not guarantee financial solvency, Clearside Biomedical, Inc. today announced it has filed for voluntary Chapter 11 bankruptcy protection. The move initiates a court-supervised process to sell the company and its assets, including a validated drug delivery platform and a late-stage treatment for wet age-related macular degeneration (wet AMD), one of the leading causes of blindness.

The filing in the U.S. Bankruptcy Court for the District of Delaware marks a dramatic turn for a company that successfully brought an innovative product to market. Clearside developed and gained FDA approval for XIPERE®, a treatment for uveitic macular edema, and pioneered the SCS Microinjector® for delivering drugs directly to the suprachoroidal space (SCS) at the back of the eye. Despite these achievements, the company will now pursue a strategic sale through a Section 363 auction, a process designed to maximize value for its creditors.

"Our Board of Directors and management team have thoroughly assessed all of our strategic options and believe that this Chapter 11 structured process represents the best possible option for Clearside and its stakeholders,” said George Lasezkay, President and CEO, in a statement. He emphasized the belief that the company possesses "attractive assets" that could find a new home and continue their development path under new ownership.

The Anatomy of a Biopharma Collapse

Clearside’s journey into Chapter 11 underscores a brutal reality in the biopharmaceutical industry: the immense and often prohibitive cost of late-stage clinical development. The company’s court filings paint a grim financial picture, reporting liabilities between $50 million and $100 million against assets valued at a fraction of that, in the range of $1 million to $10 million.

The path to insolvency was paved with mounting financial pressures. As recently as its last quarterly report, Clearside raised “going concern” doubts, signaling that its cash reserves—which stood at just $9.4 million in June 2025—were insufficient to fund operations without a new strategic transaction or significant funding infusion. This followed a series of cash-conserving measures, including a reduction in workforce, and a precarious dance with Nasdaq listing requirements.

Throughout 2025, the company battled delisting notices for its stock (CLSD) falling below the minimum bid price and for its market value dropping below the $50 million threshold. While it briefly regained compliance on its stock price, the underlying financial instability was undeniable. The company's stock, which had already fallen over 80% year-to-date, plummeted another 70% in pre-market trading on the news of the bankruptcy. For common stockholders, the Chapter 11 process is likely to be a terminal event, as they are last in line for recovery behind a long list of creditors.

A Fire Sale of Ophthalmic Crown Jewels

For potential buyers in the ophthalmology space, Clearside’s bankruptcy presents a significant opportunity. The auction block will feature a portfolio of assets developed over years at a cost far exceeding any likely sale price. At the center of this fire sale is the company’s proprietary SCS Microinjector® platform.

This clinically validated, commercially proven technology enables a repeatable, in-office procedure to deliver therapies to the back of the eye with high precision. By targeting the suprachoroidal space, the platform aims to maximize drug efficacy at the disease site while minimizing exposure and side effects in other parts of the eye. The platform is not just a concept; it is ISO and CE mark certified, has established commercial-scale manufacturing, and forms the basis of the FDA-approved product XIPERE®.

Arguably the most coveted asset is CLS-AX, a proprietary injectable suspension of the tyrosine kinase inhibitor (TKI) axitinib. Positioned as a Phase 3-ready treatment for wet AMD, CLS-AX has the potential to be a game-changer. By delivering a pan-VEGF inhibitor directly to the choroid and retina, it promises a more durable effect than current anti-VEGF biologics, potentially reducing the treatment burden from monthly or bimonthly injections to just a few times per year. Positive data from the Phase 1/2a OASIS trial and the Phase 2b ODYSSEY trial demonstrated a strong safety profile and promising durability, with 67% of patients in one study going six months without needing additional treatment. Critically, Clearside secured alignment with the FDA on a Phase 3 trial design, de-risking the regulatory path for any acquiring company.

Beyond CLS-AX, the sale includes preclinical programs targeting geographic atrophy and diabetic macular edema, as well as equity and future revenue rights from a complex royalty agreement. These assets, particularly the late-stage CLS-AX, could allow a larger pharmaceutical player to leapfrog years of R&D and enter the lucrative retinal disease market with a differentiated, high-potential candidate.

Ripple Effects Across a Network of Partners

The downfall of Clearside sends shockwaves beyond its own labs and investors, creating uncertainty for a web of high-profile partners that have built development programs around its technology. The company’s Chapter 11 filing puts these collaborations in a state of flux, as executory contracts can be assumed, rejected, or renegotiated as part of the bankruptcy proceedings.

Bausch + Lomb, which holds the exclusive license to commercialize XIPERE® in the U.S. and Canada, now faces questions about the future of its supply and marketing agreement. More critically, the bankruptcy could disrupt cutting-edge development programs. REGENXBIO, in partnership with global giant AbbVie, is utilizing Clearside’s SCS platform to explore suprachoroidal delivery for its gene therapy candidate, RGX-314, for wet AMD and diabetic retinopathy. The progress of this innovative approach could be stalled or complicated by the sale.

Other partners, including Aura Biosciences, BioCryst Pharmaceuticals, and Arctic Vision (which is commercializing XIPERE® in China and other Asian markets), are also impacted. The situation highlights the inherent counterparty risk in the highly interconnected biotech ecosystem, where the failure of one company can have cascading consequences for its collaborators’ pipelines and commercial strategies.

As Clearside’s advisors at Berkeley Research Group manage the financial restructuring, all eyes will be on the upcoming Section 363 auction. The bidders that emerge—whether they are existing partners seeking to secure their programs, or large pharma competitors looking for a strategic bargain—will determine the fate of this innovative technology. The outcome will not only reshape a corner of the competitive ophthalmology market but will also decide whether Clearside’s vision for treating retinal disease can ultimately survive its financial collapse.