) recently announced that it has entered into a settlement
), Pharmacia & Upjohn Company LLC and Pfizer Health AB. The
patent litigation was related to Mylan's generic version of
Pfizer's Detrol LA (tolterodine tartrate ER, 2 mg and 4 mg) for
overactive bladder with symptoms of urge urinary incontinence,
urgency and frequency.
Under the terms of the settlement agreement, subject to regulatory
approval, Mylan can launch its generic version of Pfizer's Detrol
LA between January 1, 2014 and March 1, 2014. Other terms of the
deal were not disclosed.
According to IMS Health, Detrol LA, 2 mg and 4 mg, generated US
revenues of approximately $599 million for the 12 months ending
June 30, 2012.
This news comes on the heels of the Mylan-Pfizer collaboration to
develop, manufacture, distribute and commercialize generic drugs in
Japan, announced last month.
We are encouraged by Mylan's geographic reach and product depth,
along with a robust generic product pipeline. However, we remain
concerned about the company's lackluster performance in Europe,
Middle East and Africa (EMEA) region. Additionally, with most large
branded drugs due to lose patent exclusivity within the 2017-2018
period, we have little visibility on the growth prospects of
generic companies like Mylan beyond that timeframe.
Thus, we prefer to remain on the sidelines and have a Neutral
recommendation on Mylan. The stock carries a Zacks #2 Rank (Buy
rating) in the short term. We currently have a Neutral
recommendation on Pfizer, which carries a Zacks #3 Rank (short-term
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