Novartis: A Swiss Drug Co. with a interest in Roche

Novartis Unit Sues Bristol-Myers, Watson Over Pravachol Patents

By Susan Decker

Jan. 2 (Bloomberg) -- Novartis AG's Lek unit sued Bristol- Myers Squibb Co. and Watson Pharmaceuticals Inc., seeking royalties on the cholesterol medicine Pravachol.

Lek owns two patents for crystalline forms of pravastatin, the key ingredient in Pravachol. Changes in the crystal make the compound more stable and pure, according to the patents, issued in May 2004 and July 2006. Lek claims the Bristol-Myers version of the drug uses pravastatin in the forms covered by the patents.

Pravachol, approved by U.S. regulators in 1991, was the second-biggest product for New York-based Bristol-Myers behind the blood-thinner Plavix until the patent on the main compound expired in April. U.S. sales dropped 45 percent to $503 million in the first nine months of 2006. Watson sells a generic version under an agreement with Bristol-Myers.

``Because of the substantial volume of Pravachol that Bristol-Myers sells, it should have known about any patents affecting it,'' Lek said in a complaint filed Dec. 29 in federal court in Marshall, Texas.

Lek seeks cash compensation and a court order to bar Bristol-Myers and Watson from infringing the patents.

Bristol-Myers spokesman Jeff MacDonald had no immediate comment on the suit. Patty Eisenhaur, a spokeswoman for Corona, California-based Watson, didn't immediately return a message seeking comment.

Lek, based in Slovenia, was bought by Basel, Switzerland- based Novartis in 2002.

The case is Lek DD v. Bristol-Myers Squibb Co., 2:06-cv- 00547, U.S. District Court, Eastern District of Texas (Marshall).

To contact the reporter on this story: Susan Decker in Washington at sdecker1@bloomberg.net .

Last Updated: January 2, 2007 11:14 EST