May 24 (Reuters) - Indian generic drugmaker Emcure

Pharmaceuticals and U.S. vaccine developer HDT Bio

have settled allegations that Emcure stole HDT trade secrets

during their joint work on a COVID-19 shot, the companies said

in a press release on Friday.

The companies said they have signed a long-term agreement to

continue collaborating on the development of mRNA-based vaccines

and a license that allows Emcure to use HDT's mRNA technology,

ending a lawsuit in the United States and arbitration in the

United Kingdom.

Emcure CEO Satish Mehta said the company was "delighted that

the misunderstanding between us and HDT not only stands resolved

but we have widened the scope of our technical collaboration."

HDT CEO Steve Reed said that their work will "bring life-saving

vaccines to countless people."

Seattle-based HDT sued Emcure in U.S. court in Seattle in

2022. It said it was developing a self-amplyifing RNA (saRNA)

vaccine for COVID-19 that was "safer, cheaper, more portable,

and likely more effective" than existing mRNA vaccine

technology.

According to the lawsuit, HDT licensed its technology to

Emcure subsidiary Gennova Biopharmaceuticals to develop and sell

the shots in India. HDT said Gennova later claimed the vaccine

as its own, applying for two Indian patents covering HDT's

technology and touting its "indigenously developed" shots in

regulatory filings.

Gennova's COVID-19 vaccine was approved for emergency use by

the Indian government in 2022.

HDT's lawsuit said Gennova broke their licensing agreement

and requested at least $950 million in monetary damages. A

federal judge dismissed the lawsuit last year after finding that

the court lacked jurisdiction over the India-based companies,

but gave HDT permission to refile its complaint.

The case is HDT Bio Corp v. Emcure Pharmaceuticals Ltd, U.S.

District Court for the District of Washington, No.

2:22-cv-00334.