Yesterday, Teva Pharmaceutical Industries Ltd. (Nasdaq: TEVA; TASE: TEVA) announced that it had reached a settlement with GlaxoSmithKline (GSK) over generic versions of three GlaxoSmithKline drugs: Avandia (Rosiglitazone Maleate), Avandamet (Rosiglitazone Maleate/Metformin HCl) and Avandaryl (Rosiglitazone Maleate/Glimepiride). All three are diabetes treatments.
Under the agreement, details of which remain confidential, Teva will able to launch generic versions of the three drugs in oral tablet form in the first quarter, 2012.
Avandia is a treatment for adult-onset diabetes. According to a recent report by analysts of Bank Hapoalim, although the drug has annual sales of over $2 billion in the US and $3.24 billion worldwide, these are likely to decrease by the time of Teva's launch because of reported heart problems associated with taking it.
Teva shares have enjoyed positive momentum recently. Earlier this week, Citigroup initiated coverage of the company with a "Buy" rating, and a target price of $52, 17% above the current market price.
Published by Globes [online], Israel business news - www.globes.co.il - on September 28, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007