Glenmark Pharma shares rise over 3% on settlement of anti-trust and consumer protection lawsuits

Glenmark shares gain above 3% with settlement in anti-trust and consumer protection lawsuit

Shares of Glenmark Pharma are higher by over 3.50 percent on February 24 following the pharma company settled anti-trust and consumer protection lawsuits against its US subsidiary.

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Glenmark Pharma confirmed about the settlement involving multiple antitrust and consumer protection lawsuits filed against the company and its US subsidiary. Glenmark USA has agreed to settle for a total of $7 million with the plaintiffs — Humana, Centene, and Kaiser — but emphasized that this settlement should not be construed as an admission of guilt.

The lawsuits, consolidated in Virginia, US, included several antitrust cases including a class action related to Glenmark’s generic version of Zetia, a cholesterol-lowering drug.  Four of the lawsuits also involved Vytorin, a combination drug containing Zetia.

The plaintiffs had accused Glenmark of participating in anti-competitive practices in 2010 in a patent dispute over ezetimibe, the active ingredient in Zetia. These claims alleged that Glenmark, along with other companies such as Schering Corporation, MSP Singapore, and Merck & Co, entered into an anti-competitive agreement to settle patent infringement litigation involving the drug.

Glenmark denied the allegations, and along with Merck vigorously defended against the claims. The company further clarified that the settlement was purely aimed at resolving the ongoing disputes and avoiding the uncertainty of prolonged litigation. Glenmark had previously settled with three plaintiff groups in 2023, while others opted out. The remaining lawsuits related to Zetia and Vytorin were later returned to their original jurisdictions.