Cipla rises 5%

about 7 months ago
No Image

On Friday, Cipla arrived at a settlement of its litigation with Celegene Corporation  and wholly owned subsidiary of Bristol Myers Squibb (parties), relating to patents for Revlimid. (lenalidomide).

As part of the settlement, the Parties will file Consent Judgments with the United States District Court for the District of New Jersey that enjoin Cipla from marketing generic lenalidomide before the expiration of the patents-in-suit, except as provided for in the settlement, as described below.

In settlement of all outstanding claims in the litigation, Celgene has agreed to provide Cipla with a license to Celgene’s patents required to manufacture and sell certain volume-limited amounts of generic lenalidomide in the United States beginning on a confidential date that is some time after the March 2022.

For each consecutive twelvemonth period (or part thereof) following the volume-limited entry date until January 31, 2026, the volume of generic lenalidomide sold by Cipla cannot exceed certain agreed upon percentages. The specific volume-limited license date and percentages agreed upon with Cipla are confidential.

In addition, Celgene has agreed to provide Cipla with a license to Celgene’s patents required to manufacture and sell an unlimited quantity of generic lenalidomide in the United States beginning no earlier than January 31, 2026.

Cipla’s ability to market lenalidomide in the U.S. will be contingent on its obtaining approval of an Abbreviated New Drug Application (ANDA).

The stock reacted positively to this news, opening 2% higher at Rs.772 and rising 5% to Rs.792.80. Its 52-week high is at Rs.829.

Popular Comments

No comment posted for this article.