Forsight Newco II Inc., a privately-held spinoff of ForSight Labs LLC, has agreed to be acquired by QLT Inc. (QLTI) for $42 million as well as future milestone payments and royalties on net sales of products.

The acquisition includes rights to a proprietary ocular punctual plug drug delivery system, which may have potential as a treatment for glaucoma.

ForSight Labs LLC, an ophthalmic technology incubator backed by Menlo Park investment firm Morgenthaler Ventures, Split Rock Partners and Versant Ventures, spun off its first company, Transcend Medical Inc., in late 2006.