Novo, Genentech Settle Dispute

Applied Genetics News, August 1, 1998

Novo Nordisk (2880 Bagsvaerd, Denmark; Fax: 45/4449-0555, Website: www.novo.dk) and Genentech (1 DNA Way, S. San Francisco, CA 94080- 4990; Tel: 415/225-1000, Fax: 415/225-6000, Website: www.gene.com) reached an out-of-court settlement of litigation on both companies' patents relating to human growth hormone and insulin. The settlement ends more than four years of legal battles fought in the U.S. District Courts for the Southern District of New York and the District of New Jersey as well as in potential disputes in jurisdictions around the world.

Under the terms of the settlement, Novo Nordisk and Genentech will cross-license worldwide certain patents relating to human growth hormone and to the manufacture and production of growth hormone products "Norditropin" (somatropin, rDNA origin, for injection), "Nutropin" (somatropin, rDNA origin, for injection), and "Nutropin AQ" (somatropin, rDNA origin, for injection). In addition, Novo Nordisk, at the end of August 1998, will receive a worldwide licenseunder Genentech patents relating to insulin and Genentech will receive certain payments. Specific financial terms of the agreement will not be disclosed.

The Novo Nordisk growth hormone, Norditropin, was first introduced in

Europe in 1988. It was approved by the U.S. Food and Drug Administration (FDA) in 1995 but was blocked from entering the market until February 1997 by ongoing litigation. Norditropin is currently available in more than 75 countries. Novo Nordisk is the third largest producer of growth hormone in the world.

Novo Nordisk is also the world leader in the diabetes care, providing insulin, such as "Novolin" 70/30, "Novolin" N, "Novolin" R, "Velosulin" BR, "NovoPen," and "Novolin" Prefilled(TM) insulin delivery systems to patients to help improve the management of diabetes.