Glenmark Pharmaceuticals’ subsidiary Glenmark Generics Inc., USA has concluded the pricing investigation by the Texas Attorney General, USA. Under the terms of the agreed settlement, there is no admission of liability. Glenmark Generics will make a payment in 16 equal payments of $1.56 million each quarter for the next 16 quarters to the state of Texas. The settlement amount will not materially impact the organization’s cash flow.
Under the settlement agreement, Glenmark must pay the State of Texas a total of $11.25 million for the State’s general revenue fund. Because the Medicaid program is jointly funded by the state and US taxpayers, the federal government is entitled to a percentage of the settlement proceeds. The federal government’s share is also $11.25 million. Additionally, the Texas Attorney General's Office will receive $2.5 million in attorneys’ fees and costs.
Glenmark’s current portfolio consists of 96 products authorized for distribution in the U.S. marketplace and 69 ANDA's pending approval with the US FDA. In addition to these internal filings, GGI continues to identify and explore external development partnerships to supplement and accelerate the growth of the existing pipeline and portfolio.
