Glenmark Pharmaceuticals announced that its US-based subsidiary, Glenmark Pharmaceuticals Inc., USA, has agreed to settle long-running antitrust litigation in the United States related to alleged price-fixing and anti-competitive practices in the generic drug market.
According to the company’s regulatory filing submitted to the stock exchanges, Glenmark USA will pay a total settlement amount of 29.628 million USD in annual instalments over five years. The settlement is still subject to approval by the court overseeing the litigation.
The case dates back to 2016, when multiple complaints were filed in the US against several generic pharmaceutical manufacturers. Plaintiffs, including state attorneys general, direct purchasers, end-payers, and other private parties, alleged that the companies were involved in price-fixing, market allocation, and related anti-competitive conduct involving generic medicines.
Glenmark clarified that its US subsidiary has denied all allegations and stated that the settlement does not represent any admission of wrongdoing, liability, or illegal conduct. The company said the decision was taken to resolve the dispute and avoid prolonged uncertainty associated with ongoing litigation.
The Mumbai-based pharmaceutical company also informed investors that the entire settlement amount has already been accounted for in its financial statements. As a result, the agreement is not expected to have any significant impact on the company’s financial position going forward.
The litigation is part of a broader crackdown in the United States on alleged collusion within the generic drug industry, where several pharmaceutical firms have faced investigations and lawsuits over pricing practices in recent years.
