Indivior wins US restraining order against Alvogen
Indivior
1,432.00p
16:40 10/05/24
Pharmaceutical company Indivior said the New Jersey District Court had granted it a temporary restraining order (TRO) that prevents rival Alvogen from launching generic versions of its opioid addiction treatment.
FTSE 250
20,645.38
16:30 10/05/24
FTSE 350
4,634.75
17:09 10/05/24
FTSE All-Share
4,586.29
16:50 10/05/24
Pharmaceuticals & Biotechnology
23,725.34
17:09 10/05/24
The TRO will remain in place until February 7 when a preliminary injunction hearing will take place, the maker of opioid addiction treatment company said.
“We will continue to vigorously pursue our infringement cases against Alvogen to protect our SUBOXONE (buprenorphine and naloxone) Sublingual Film patent portfolio,” said chief executive Shaun Thaxter.
Indivior has said it could launch a cheaper version of its treatment if rivals release generic versions of the drug. The US is overwhelmed by addition to opioids.
Analysts at RBC Capital Markets said while the TRO was a positive step, the probability of obtaining an injunction "could be more difficult than seen with Dr Reddy’s", referring to Indivior's case in the US with another rival that led to a share price crash.
The broker said a preliminary injuction (PI) appeal rehearing in the Dr Reddy's case hat yet to be scheduled and "Alvogen will have the advantage of entering the PI case having learnt from watching Dr Reddy’s original PI hearing strategy ‘missteps’".
"The positive for Indivior is that the PI hearing is in New Jersey, the same district and judge as that approved the PI with Dr Reddy’s in the first place (so may see the merit in applying the PI again). "
"Whilst the wording from the (company statement) would suggest that Indivior have obtained this TRO in advance of Alvogen launching its product this is something we would now check with management given the financial impact on the P&L if product has been sold."
"Ultimately, this is perhaps a non event as the focus remains on the Dr Reddy’s generic case and the 514 patent appeal case for the second half."
"However, overall for us, whilst the TRO is a positive for Indivior it is short term in nature and, we ultimately see this as a negative as it brings another generic risk to the fore, and perhaps implies that Alvogen have now received FDA approval for its product."