Reaches 85 mln usd settlement (Il Sole 24 Ore Radiocor) - New York, 09 Jul - The US pharmaceutical company Indivior said that its cutting its guidance due to adverse market dynamics impacting near-term growth of its opioid dependence treatment Sublocade.

In the second quarter, the group expects total net revenue of 295-303 million dollars, up 8% at mid-point, and Sublocade revenue of 188-196 million dollars, up 24% at the mid-point.

For the full year, Indivior now expects net revenue of 1.150-1.215 billion dollars, up 8% at mid-point, compared with a previous forecast of 1.240-1.330 billion dollars.

Sublocade sales are seen at 765-805 million dollars, up 25% at mid-point, compared with a previous estimate of 820-880 million.

Full-year adjusted operating profit is now seen at 285-320 million dollars compared with a previous forecast of 330-380 million.

"The group remains confident that given the scale of the US opioid epidemic, which is now being driven by misuse of fentanyl and other synthetic opioids, its opportunity to help patients and deliver value for shareholders remains intact," Indivior said, adding it is confident in delivering on its stated net revenue targets for Sublocade. It anticipates to exit 2025 at a 1 billion dollar net revenue run-rate and achieving greater than 1.5 billion dollars in peak annual net revenue.

Indivior added that on July 8 it reached an agreement via mediation with Blue Cross Blue Shield of Massachusetts, Inc., Health Care Service Corp., Blue Cross and Blue Shield of Florida, Inc., Molina Healthcare, Inc., Aetna, Inc., and certain of their affiliates to resolve consolidated antitrust litigation proceedings in Roanoke County Circuit Court. These actions had been pending since 2020. The agreement will terminate the trial that was scheduled to begin on July 15.

As part of the agreement with the plaintiffs, Indivior will pay 85 million dollars and will take a charge of 85 million in the second quarter, which will be excluded from adjusted earnings. Payment will be funded from Indivior's existing cash balance.

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(RADIOCOR) 09-07-24 13:21:30 (0339) 5 NNNN