Biotech Values

[DewDiligence]

NVS sues AMGN re Aimovig collaboration termination:

https://www.reuters.com/article/us-amgen-novartis-lawsuit/novartis-sues-amgen-over-migraine-treatment-aimovig-idUSKCN1RG21I

Novartis AG sued Amgen Inc on Thursday, accusing the U.S. biotechnology company of trying to wrongfully back out of agreements to jointly develop and market migraine prevention drug Aimovig, and keep the profits for itself.

…Amgen, in an emailed statement, said it is seeking to terminate the collaboration agreements with Novartis and obtain damages, but termination would not be effective until the litigation is resolved.

In its complaint, Novartis said it has spent at least $870 million on Aimovig since it began collaborating in August 2015 with Amgen, which previously controlled rights to the drug. Novartis accused Amgen of trying to wrongfully back out of their collaboration agreements based on the pretext that the Swiss company’s Sandoz unit was working with Alder Biopharmaceuticals Inc on a possible Aimovig rival.

… “The [ALDR] program about which Amgen has complained is being terminated,” Novartis said, and the lack of a breach means Amgen’s April 2 notice terminating the [Aimovig] collaboration agreements should be deemed void.