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A US court has dismissed all claims against drugmaker Dr Reddy's Laboratories over accusations of monopoly with regards to the sale of brand and generic Revlimid in the US.

The claims were dismissed against Dr Reddy's and its US-based subsidiary Dr Reddy's Laboratories Inc. on December 22 and December 27.

Several generic companies including Dr Reddy's, Celgene and Bristol Myers Squibb were named as defendants in a complaint that was filed last month in New Jersey. The complaint alleged that Revlimid generic companies improperly restrained competition and maintained their share monopoly.

The complaint was filed on behalf of the indirect purchasers who sought damages for overpayments and equitable relief.

Further, the complaint stated that the agreements improperly delayed generic entry until 2022 and limited competition until 2026.

On their part, Dr Reddy's had said that the allegations lack merit and that they will vigorously defend this said litigation.

As per the latest Rx trends, Dr Reddy's is now the largest generic player with a 21 percent market share for the week ending December 2. "Dr Reddy's high share is not surprising as it has exclusivity for two strengths of the product and Natco-Teva's exclusivity period has ended," according to a Nomura note on December 16.

Nomura further said that the Revlimid contribution will be material in the near-term, but it can fluctuate on a quarter-on-quarter basis.

Shares of Dr Reddy's Laboratories have gained nearly 2 percent in the early minutes of trade, currently trading at Rs 4,333.10. The stock is the top gainer on the Nifty 50 index.

First Published:Dec 29, 2022 9:26 AM IST