Stocks

Settlement booster for Dr Reddy's Lab

K.S. Badri Narayanan | Updated on March 24, 2013 Published on March 24, 2013


The stock of Dr Reddy's Laboratories may see interest at the bourses this week as the company settled a case against Nrodion (earlier MDS) in New Jersey District Court for a cash payment of $22.5 million (Rs 122.27 crore). The settlement was concluded on March 20, with the receipt of the settlement funds by Dr Reddy's, the drug major informed the exchanges. Dr Reddy's, which brought the case in April 2009 seeking compensation for damages caused by Nordion Inc for breaching a laboratory services agreement, had to settle the issue as US drug regulator said MDS violations are ‘good laboratory practices' . The Canadian company, as a contract research firm, provided lab services including bio-equivalency studies to support Indian pharma major’s regulatory applications for approval of generic drugs.

Published on March 24, 2013
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