Novo Nordisk and Viatris Settle Patent Dispute Over Ozempic and Wegovy, Keeping Generic Entry Date Undisclosed

Settlement Agreement:
Novo Nordisk and Mylan Pharmaceuticals (a unit of Viatris) have settled their patent dispute over the weight-loss drugs Ozempic and Wegovy, ending a lawsuit and a patent validity challenge.

Confidential Terms:
The terms of the settlement, including any financial arrangements and the generic entry date, remain confidential and are not publicly disclosed.

Legal Background:
Novo Nordisk initially sued Mylan in 2022 for patent infringement related to Mylan's attempt to develop a generic version of Ozempic. The case was later transferred and merged with others in Delaware federal court.

Patent Challenge:
Mylan had challenged the validity of Novo Nordisk's patents, with the Patent Trial and Appeal Board (PTAB) agreeing to review one of the patents in October 2023. The review was terminated as part of the settlement.

Market Impact:
The settlement does not provide clarity on when generic versions of Ozempic and Wegovy can enter the U.S. market, leaving the generic entry date unknown.

Economic Significance:
Ozempic and Wegovy are highly profitable drugs for Novo Nordisk, with Ozempic generating around $14 billion in 2023 and Wegovy earning $4.5 billion.