Corcept Therapeutics Inc. (CORT, -1.22%), a prominent pharmaceutical company, experienced a significant blow as its shares dropped by 32% in premarket trading on Tuesday. This decline comes in the wake of a ruling from a federal court in New Jersey on Friday, which sided with Teva Pharmaceutical Industries Ltd. (TEVA, -0.29%) in Corcept’s patent infringement lawsuit.
Teva’s intention to release a generic version of Corcept’s Korlym, an effective treatment for Cushing’s syndrome, prompted the legal battle. However, the court determined that Corcept failed to provide sufficient evidence of direct infringement on its patent claims regarding the drug.
Despite this setback, Corcept’s CEO, Dr. Joseph Belanoff, expressed optimism, stating that the company intends to appeal the decision vigorously. Belanoff emphasized their confidence in eventually overturning the ruling, while also asserting their commitment to protecting their intellectual property rights.
As of now, Teva has not issued any comment regarding the court’s decision.
It is worth noting that Corcept Therapeutics Inc. experienced impressive growth in 2023, with its shares witnessing a remarkable surge of around 60%. Conversely, Teva’s American depositary receipts saw a slight dip of 0.1% in premarket trading on Tuesday but demonstrated an overall gain of 14.5% over the past twelve months.
