Shares of Amarin Corporation plc (NASDAQ:AMRN) plunges
Teva Pharmaceutical Industries Ltd (NYSE:TEVA) and Par Pharmaceuticals have won an appeal in the Delaware Court ruling. This might allow the companies to launch generic versions of Lovaza, the heart drug, in the market.
This news sent Amarin Corporation plc (NASDAQ:AMRN) plummeting 7.95% in Thursday’s trading session. The opening price of the company’s shares was $7.15 million which touched an intraday high of $7.25 and closed at $6.60. More than 20.89 million shares were traded on Thursday which was almost 4 times the average volume of 4.2 million shares that were traded over a period of 30 days. The company has a market capitalization of $1.14 billion.
The Delaware court overruled a previous ruling that favored Pronova BioPharma ASA. This company has been acquired by BASF Se, the German chemicals company. In the earlier ruling, the 2 Lovaza patents had been upheld. In effect, this prevented both Teva and par from commercializing their own generic versions. This particular drug is derived from the Omega-3 Fatty acids. It lowers high triglyceride levels in the blood.
Pronova has challenged this alleged patent-infringement against Teva in 2009. This was when both the companies had filed some abbreviated, new drug-applications with the U.S FDA to bring in generic-versions of the Lovaza drug into the market. These cases had been consolidated.
Not too much to worry about?
Despite the fact that Amarin Corporation plc (NASDAQ:AMRN) has plunged on the news, some market watchers advised serious investors not to get too concerned over it. Joseph Schwartz, the Leerink Swann analyst said that generic competition will take place either in 2013 or 2014, but felt that they do not believe that Lovaza and Voscepa are competitors on the price front, their safety profiles or even their efficacy.
Amarin Corporation plc (NASDAQ:AMRN) is a late-stage biopharma company. It has expertise in lipid-science and focuses on cardiovascular disease treatment.