Generic drugmaker Actavis Inc said it had settled a patent lawsuit with Purdue Pharma related to Actavis' generic version of the abuse-deterrent formulation of Purdue's painkiller OxyContin.
Under the agreement, Actavis will be licensed to market a specified number of bottles of its generic OxyContin beginning January 1, 2014.
Actavis expects the agreement to represent more than $100 million in combined gross profit in 2014 and 2015, but the other terms of the settlement were not disclosed.
If Actavis is unable to get U.S. regulatory approval for its generic OxyContin prior to September 1, 2014, it will be permitted to launch a specified number of bottles of an authorized generic version of Purdue's abuse-deterrent product beginning in October 2014.
OxyContin had U.S. sales of about $2.8 billion for the 12 months ending January 31, 2013, according to IMS Health, Actavis said in a statement.
Actavis, formerly known as Watson Pharmaceuticals, announced on Thursday it had settled a lawsuit with Shire Plc, related to a generic version of Shire's drug, Intuniv, to treat attention deficit hyperactivity disorder.
The drugmaker changed its name from Watson after buying Actavis as part of its strategy to expand in international markets and offer more specialty drugs.
(Reporting by Esha Dey in Bangalore; Editing by Sreejiraj Eluvangal)