Company AnnouncementExiqon A/S completes litigation against Santaris Pharma a/s
Exiqon A/S (NASDAQ OMX Copenhagen: EXQ) today announced that the company has completed its litigation against Santaris Pharma a/s.
In 2010, Exiqon initiated arbitration proceedings to defend its business against Santaris Pharma.
Exiqons product offering includes LNA amidites and LNA oligonucleotides for the research and development of pharmaceutical products. Exiqon has the exclusive right to supply such products except for use in the research and development of pharmaceutical products containing LNA as the active ingredient. Todays decision by the arbitration court establishes Exiqons non-exclusive right to supply these products also for the research and development of pharmaceutical products containing LNA as the active ingredient. Santaris Pharmas request that Exiqon should be prevented from supplying LNA products for such use was dismissed.
Following todays decision, it is clear that both Exiqon and Santaris Pharma may supply LNA products for the research and development of pharmaceutical products containing LNA as the active ingredient.
In a comment, President and CEO of Exiqon, Lars Kongsbak said: Exiqon is committed to provide best in class products for the detection of nucleic acids using our LNA technology. This has allowed us to become a leader in our markets, and serves as the foundation for Exiqons commitment to develop, and help propel the development of, novel molecular diagnostic products, including companion diagnostics, for which we provide easy access to our proprietary technologies through licensing. Proceedings against Santaris Pharma were an unfortunate, but necessary, step towards realizing our business goals.
Exiqon had requested that Santaris Pharma be ordered to pay damages. However, the arbitration court did not find grounds for damages.
During proceedings, Santaris Pharma submitted a counter claim against Exiqon for damages in the amount of DKK 100 million. This claim was dismissed on substantive grounds.
The arbitration court also decided on the distribution of the costs of proceedings. Santaris Pharma was awarded partial costs of DKK 2 million payable by Exiqon within 14 days.
Exiqon expect todays decision to impact its full year EBITDA, for which guidance has been provided exclusive of one-time items, with approximately DKK -10 million.
Lars Kongsbak, CEO, tel. +45 4566 0888 (cell: +45 4090 2101)
Hans Henrik Chrois Christensen, CFO, tel. +45 4566 0888 (cell: +45 4090 2131)
See the full press release in the attached PDF or at www.exiqon.com/investor/portal.