NEW YORK (AP) -- Shares of Cadence Pharmaceuticals rocketed Friday after the company said it had won a favorable ruling in a lawsuit over two patents on its intravenous fever and pain treatment.
THE SPARK: The San Diego company said the U.S. District Court for the District of Delaware ruled in its favor in a patent infringement lawsuit against Exela Pharma Sciences. Cadence said it sued Exela in 2011, alleging the company was infringing on two patents covering the drug Ofirmev. Those patents are scheduled to expire in August 2017 and December 2021.
THE BIG PICTURE: Ofirmev is an injectable version of the drug acetaminophen, the active ingredient in Tylenol. The Food and Drug Administration approved it in November 2010. Cadence Pharmaceuticals Inc. reported $50.2 million in net sales of Ofirmev in 2012, and $77.2 million in sales over the first three quarters of 2013.
SHARE ACTION: Cadence shares climbed $2.25, or 38.2 percent, to $8.13 in midday trading. Earlier the stock rose almost 60 percent to reach a two-year high of $9.39.