Glenmark reaches dead-end with GSK on patent dispute

Glenmark-GSKThe two global pharmaceutical majors Glenmark Pharmaceuticals and GlaxoSmithKline LLC have recently announced that the duo have settled its patent issues over the doses of atovaquone and proguanil hydrochloride drug, the generic version of GSK's Malarone malaria treatment tablets.

In fact, according to the terms and conditions of the deal, Glenmark Generics will be able to market and distribute the generic version of Malarone tablets across various markets.

Notably, Malarone clocked a sales figure of $56 million in the calendar years of 2009 in the U. S. market. However, analysts are of a view that it will be a small product and will only into the picture in FY2012 that will add an incremental portion to the earnings of Glenmark.

Moreover, according to the terms of the agreement, beginning October 2011 Glenmark will be able to sell the Malarone's generic version on an exclusive basis for a period of 180 days.

The contract further adds that Glenmark Pharma may just go in for the marketing and distribution of the drug under certain circumstances as declared in the royalty-bearing license agreement.