WALTHAM, Mass., April 8, 2008 /PRNewswire-FirstCall/ -- Repligen Corporation (Nasdaq: RGEN) announced today that it has reached a settlement with Bristol-Myers Squibb Company (NYSE: BMY) in its lawsuit alleging infringement of U.S. Patent No. 6,685,941 ("the '941 patent"), based on Bristol-Myers Squibb's sale of Orencia(R) for the treatment of rheumatoid arthritis. The settlement provides for Bristol-Myers Squibb to make an initial payment of $5,000,000 and to pay royalties on the U.S. net sales of Orencia for any clinical indication at a rate of 1.8% for the first $500,000,000 of annual sales, 2.0% for the next $500,000,000 of annual sales and 4% of U.S. annual sales in excess of $1 billion for each year from January 1, 2008 until December 31, 2013. The settlement also provides for the grant by Repligen and co-plaintiff the University of Michigan to Bristol-Myers Squibb of an exclusive worldwide license under certain patent rights of Repligen and the University of Michigan. The settlement serves as the basis for Repligen and co-plaintiff the University of Michigan to dismiss the lawsuit against Bristol-Myers Squibb.
"We are very pleased by the settlement of this case which will provide
us a substantial new source of revenue," stated Walter C. Herlihy,
President and Chief Executive Officer of Repligen Corporation. "Based on
analysts' estimates of U.S. sales of Orencia(R), we expect total cash
receipts from our Protein A business, Orencia(R) royalties, research and
development and other income of greater than $30
|SOURCE Repligen Corporation|
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