The Hindu Business Line : Lupin resolves case on Cefdinir

Mumbai June 19 Lupin Ltd has resolved certain litigation proceedings with Abbott Laboratories and Astellas Inc in the US over the antibiotic Cefdinir.

"Lupin and Abbott Laboratories and Astellas Inc have mutually dismissed various claims against each other without prejudice," Lupin told the Bombay Stock Exchange (BSE) on Tuesday.

Late last year, Abbott and Astellas had withdrawn their motion for a preliminary injunction to stop any potential launch by the company.

Lupin had received a regulatory approval from the US Food and Drug Administration for its oral suspension form of the medicine, also in late 2006.

Challenges

The company has launched the medicine and will continue to market it in the US, a source familiar with the development told Business Line. The fallout of this development is that there will not be more litigation costs, the source said.

The drug is the generic equivalent of Abbott Laboratories' Omnicef, clocking US sales of approximately $787 million for 12 months ended December 31, 2006, according to industry data.

Earlier it was just larger drug companies such as Ranbaxy and Dr Reddy's, for instance, that were aggressive overseas and challenged patents on medicines.

A patent is given to a company that makes a new or innovative medicine and it allows the company exclusive marketing rights for 20 years.

More recently, companies such as Glenmark, Lupin etc., have also been indulging in patent challenges.

In fact, in an earlier interaction with Business Line, the Lupin Managing Director, Dr Kamal Sharma, had indicated that more than 25 per cent of the products in its portfolio were patent-challenges. Other products in its basket include `difficult-to-mimic' products, he added.

Lupin shares closed marginally up at Rs 691 on the BSE.

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