Vectura prevails in US patent litigation with GSK

UK developer of inhaled therapies Vectura (LSE:VEC) confirmed over the weekend that, on May 3, 2019, following a jury trial in the US District Court for the District of Delaware, the relevant asserted claim of Vectura’s US patent 8303991 was found valid and infringed by US sales of three of GlaxoSmithKline’s (LSE: GSK) Ellipta products.

The jury awarded Vectura $89.7 million in damages for the period from August 2016 through December 2018, based on a calculation of 3% of US sales of these products. Vectura expects to seek application of the 3% royalty to the sales of the infringing products through the end of the patent term in mid-2021. The jury also found that GSK’s infringement was willful. The willfulness finding gives Vectura the right to seek enhanced damages. GSK has the option to appeal the decision.

“Although we regret the need to take a longstanding partner to court, we are pleased with the jury’s verdict which confirms the validity of our intellectual property and the decision to progress this action with GSK. We will provide updates on this matter in due course,” commented Vectura’s chief executive James Ward-Lilley.