ALAMEDA, Calif.—InSite Vision Inc. (OTCBB:INSV) today announced that the company has received an unsolicited proposal from a multi-national pharmaceutical company to acquire all outstanding shares of InSite Vision common stock at a price of $0.25 per share in cash. The proposal is non-binding and is subject to further due diligence.

As reported by VMail, InSite Vision is party to a merger agreement with Canadian biotechnology company QLT Inc., (NASDAQ: QLTI) (TSX: QLT) pursuant to which QLT would acquire InSite in an all-stock transaction in which InSite Vision’s stockholders would receive 0.048 QLT shares for each share of InSite Vision that they hold.

Consistent with its fiduciary duties and in accordance with its existing merger agreement with QLT, InSite Vision’s board of directors, in consultation with its financial and legal advisors, will carefully review all aspects of the new proposal and pursue the course of action that it believes is in the best interests of InSite’s stockholders, according to an announcement from the company.

InSite Vision remains subject to its existing merger agreement with QLT and the InSite Vision board of directors has not changed its recommendation in support of the QLT transaction, the existing merger agreement with QLT, or its recommendation that InSite Vision stockholders adopt the existing merger agreement with QLT, InSite Vision said.