Sol-Gel sells sunscreen activity to Merck for more than $10 million

Bet Shemesh, Israel

- In an effort to redirect their business from cosmetics to pharmaceuticals, Sol-Gel Technologies has sold its sunscreen activity to Merck for more than $10 million, plus royalties on product sales, globes-online.com reports.

Sol-Gel is responsible for developing a method to encase high concentrations of ultra-violet-absorbing transparent, silica micro-shells for active pharmaceutical ingredients (API). The propriety encapsulation system keeps the organic filters on the top layers of the skin. The capsule protects the API compound, controls its release and extends the shelf-life of the product according to globe-online.com.

Recently, the company signed a contract with an international dermatology products company selling the rights of the encapsulation method for use with an acne treatment.