11:37 AM EDT, 05/14/2025 (MT Newswires) -- Incyte ( INCY ) said Wednesday that it has agreed to pay $280 million to resolve a royalty payments dispute with Novartis ( NVS ) Pharma over net sales of Jakafi in the US.

Under the settlement agreement, the companies also agreed to reduce the royalty rate payable by Incyte ( INCY ) to Novartis ( NVS ) by 50% on Jakafi net sales in the US, starting Jan. 1, 2025, according to a filing by Incyte ( INCY ).

Incyte ( INCY ) said it had $537.1 million of accrued royalties related to its dispute with Novartis ( NVS ) as of March 31.

Shares of Incyte ( INCY ) and Novartis ( NVS ) were down 1.1% and 0.5%, respectively, in recent trading.

Price: 60.13, Change: -0.69, Percent Change: -1.13