Vectura Wins US GSK Patent Litigation and Awarded $89.7Million in Damages by Trial Jury
May 04 2019 - 8:54AM
Business Wire
Vectura Group plc (LSE:VEC) ("Vectura" or "the
Group") confirms that on 3rd May 2019 following
a jury trial in the United States District Court for the District
of Delaware, the relevant asserted claim of Vectura’s US patent
8303991 was found valid and infringed by US sales of three of
GlaxoSmithKline’s (GSK) Ellipta products. The jury awarded Vectura
$89.7m in damages for the period from August 2016 through December
2018, based on a calculation of 3% of US sales of these products.
Vectura expects to seek application of the 3% royalty to the sales
of the infringing products through the end of the patent term in
mid-2021. The jury also found that GSK’s infringement was willful.
The willfulness finding gives Vectura the right to seek enhanced
damages. GSK has the option to appeal the decision.
James Ward-Lilley, Chief Executive Officer of Vectura,
commented:
“Although we regret the need to take a longstanding partner to
court, we are pleased with the jury’s verdict which confirms the
validity of our intellectual property and the decision to progress
this action with GSK. We will provide updates on this matter in due
course.”
Background to litigation:
In July 2016, Vectura filed a patent infringement lawsuit
against GSK in the United States District Court for the District of
Delaware claiming that sales of certain GSK Ellipta products
infringed Vectura patents.
Vectura and GSK had entered into an agreement in 2010 under
which GSK had taken a license to formulation technology covered by
a Vectura patent family. These licensed patents expired in July
2016. At this time GSK had the option to license additional patent
families under the original agreement but declined to do so,
resulting in the filing of the lawsuit by Vectura.
From the outset Vectura has been open to finding a mutually
acceptable solution to avoid prolonging the dispute. Those efforts
were not fruitful and led to the litigation progressing to a jury
trial in April 2019.
Expected news flow for 2019
In the meantime, we continue to focus on executing our strategy
and to build on our recently reported strong financial and
operational progress. Further expected news flow for 2019
includes:
- VR315 (US) repeat clinical study
read-out and resubmission
- VR647 (US) partnering post FDA end of
Phase II meeting
- Updated disclosure on new nebulised
niche portfolio assets, including potential orphan drug
designation
- QVM149 Phase III study completion and
submission
Forward-looking statements
This press release contains forward-looking statements,
including statements about the discovery, development and
commercialisation of products. Various risks may cause Vectura's
actual results to differ materially from those expressed or implied
by the forward-looking statements, including: adverse results in
clinical development programmes; failure to obtain patent
protection for inventions; commercial limitations imposed by
patents owned or controlled by third parties; dependence upon
strategic alliance partners to develop and commercialise products
and services; difficulties or delays in obtaining regulatory
approvals to market products and services resulting from
development efforts; the requirement for substantial funding to
conduct research and development and to expand commercialisation
activities; and product initiatives by competitors. As a result of
these factors, prospective investors are cautioned not to rely on
any forward-looking statements. We disclaim any intention or
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise.
About Vectura
Vectura is an industry-leading inhaled product formulation,
device design and development business offering a uniquely
integrated inhaled drug delivery platform. We develop inhalation
products to help patients suffering from airways diseases.
Vectura has ten key inhaled and eleven non-inhaled products
marketed by partners with global royalty streams, and a diverse
partnered portfolio of drugs in clinical development. Our partners
include Hikma, Novartis, Sandoz, Mundipharma, Kyorin, Baxter, GSK,
UCB, Bayer, Chiesi, Almirall, Dynavax and Tianjin KingYork.
Vectura's strategy is to fully leverage its differentiated
technology and skills, maximising value by enhancing the delivery
and performance of inhaled products, and through the development of
high-quality generic alternatives to branded therapies.
For further information, please visit Vectura's website at
www.vectura.com
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version on businesswire.com: https://www.businesswire.com/news/home/20190504005009/en/
Vectura Group plcDavid Ginivan – VP Corporate
Communications+44 (0)7471 352 720Elizabeth Knowles – VP
Investor Relations+44 (0)7767 160 565
Consilium Strategic Communications+44 (0)7739 788
014Mary-Jane Elliott / Jessica Hodgson / Susan Stuart / David
Daley
Vectura (LSE:VEC)
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