Medicis shares surge after settlement

The drugmaker says it cuts a deal to end a patent dispute over a generic version of the acne drug Solodyn.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

prescription_pills_drugs.ce.03.jpg
The companies announced a settlement of the patent dispute over a generic version of the acne drug Solodyn.

NEW YORK (CNNMoney.com) -- Shares of Medicis Pharmaceutical Corp. rose more than 25% in midday trading Tuesday, following the settlement of a patent dispute with a competitor.

Late Monday, Medicis (MRX) announced it cut a deal with Impax Laboratories Inc., ending a patent dispute over a generic version of the acne drug Solodyn.

At 12:30 p.m. ET, Medicis shares were up $2.81 to $13.93.

According to the announcement, Impax retains the right to market a generic version no later than November 2011. After launching its drug, the conpanies said Impax will pay Medicis a royalty based on sales.

The companies will also collaborate on research and development of five "strategic dermatology product opportunities," including a more advanced version of Solodyn, according to a statement issued by the companies.

The companies said Impax has agreed that Medicis' patents relating to Solodyn are valid and enforceable. To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
More Galleries
7 quirky luxury products for the super rich Take a look at some of the most unusual luxury products being marketed to the top 1% in Monaco, including a rotating sunbed, hand-made wooden skis and fur coats for dogs. More
Five things to know about Putin's Russia An economic crisis, Western sanctions and a comeback currency: What's going on in Russia? More
9 up-and-coming collectible cars They're relatively cheap now but these models have already caught collectors' eyes and are expected to increase in value in years to come More
Sponsors