Regeneron prevails over Amgen in antitrust lawsuit

A federal jury in Delaware put US biotech major Amgen (Nasdaq: AMGN) on the hook Thursday for at least $271.2 million in punitive damages arising from an alleged scheme that undercut Regeneron's (Nasdaq: REGN) price for its Praluent (alirocumab). anti-cholesterol drug by bundling Amgen's competing, higher-priced Repatha (evolocumab) with rebates for two expensive, blockbuster medications.

Despite the negative decision for Amgen, its shares closed up 3.6% at $271.69 yesterday, while those of Regeneron edged up 2.4% to $584.99.

The Court found that Amgen violated antitrust and tort laws by creating a bundling scheme that illegally leveraged its blockbuster anti-inflammatory drugs Enbrel (etanercept) and Otezla (apremilast) to convince pharmacy benefit managers (PBMs) to select Repatha as the exclusive PCSK9 category product over Praluent. The jury found that Amgen violated the Clayton Act, the Sherman Act, the New York State Donnelly Act, the California Cartwright Act and Delaware tort law.