Hikma agrees to settle US opioid claims

2nd Feb 2024 07:23

(Sharecast News) - Hikma Pharmaceuticals announced an agreement in principle to address the majority of opioid-related claims filed against it by various US states, local communities and tribal nations on Friday.

The FTSE 100 pharmaceuticals maker said the claims were associated with the production and distribution of prescription opioid medications.

Under the terms of the agreement in principle, Hikma committed to pay up to $115m in cash and $35m worth of naloxone donations - an opioid antagonist used to counteract the effects of opioid overdoses.

It noted that the settlement was not an acknowledgment of wrongdoing or liability on the part of Hikma Pharmaceuticals.

The company said it intended to continue defending itself against any remaining litigation that was not addressed by this settlement.

"I am pleased that we have been able to reach a settlement framework agreement that works for all parties, while providing clarity to all of our stakeholders in regard to ending these pending matters," said the company's general counsel, Sam Park.

"This payment and product donation will directly support state and local efforts in addressing the impact of the opioid crisis in their communities."

At 0845 GMT, shares in Hikma Pharmaceuticals were up 0.18% at 1,915p.

Reporting by Josh White for Sharecast.com.