Depomed Gets Favorable Nucynta Patent Decision
September 30 2016 - 6:10PM
Dow Jones News
Depomed Inc. said it received a favorable court decision on its
patents for its Nucynta painkiller products and expected the ruling
would result in market exclusivity through 2025.
The patent litigation has lingered over Depomed as it fought off
a takeover approach last year from Horizon Pharma PLC and has been
dealing this year with activist investor Starboard Value LP.
Starboard, which is seeking to replace Depomed's board, has said
Depomed should consider a sale and criticized the company's
interactions with Horizon.
Reuters reported earlier this month that Depomed was working
with Morgan Stanley on a sale process, and that talks with
potential buyers were expected to start following the patent
decision. Depomed also said it wanted to schedule a shareholder
meeting later in the year so that shareholders would know the
outcome of the patent litigation.
Depomed shares rose 4.5% in the regular session and increased
3.3% to $25.80 in after-hours trading.
Depomed said Friday that a federal judge in New Jersey ruled
that Actavis Inc., Alkem Laboratories Ltd. and Roxane Laboratories
Inc. infringed two of its patents.
Depomed will appeal a ruling that two of the defendants didn't
infringe another patent that covers the Nucynta extended-release
product through 2029.
Nucynta patent litigation dates as far as back as 2013. In April
2015, Depomed bought the U.S. rights to Nucynta from Johnson &
Johnson unit Janssen Pharmaceuticals Inc. for $1.05 billion.
Write to Josh Beckerman at josh.beckerman@wsj.com
(END) Dow Jones Newswires
September 30, 2016 17:55 ET (21:55 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
Johnson and Johnson (NYSE:JNJ)
Historical Stock Chart
From Aug 2024 to Sep 2024
Johnson and Johnson (NYSE:JNJ)
Historical Stock Chart
From Sep 2023 to Sep 2024