Lipocine's Positive Patent Lawsuit News Not Enough To Lift The Stock

The roughly 30 percent gain notched up by Lipocine Inc LPCN in the three sessions following its announcement of a patent infringement lawsuit win could all be soon wiped out.

The company announced last Friday that a U.S. district court has dismissed a lawsuit filed by Clarus Therapeutics, which claimed that the former's LPCN 1021, an oral testosterone product candidate for testosterone replacement therapy, infringed its patent.

Meanwhile, Clarus came out with a clarification earlier Thursday, announcing the logic behind the court's dismissal of its claim was that it did not see an immediate need to hear the case, as Lipocine has not received FDA market approval for LPCN-1021.

Related Link: Lipocine Still Can't Clear $6

The decision was made without ruling on the validity of its patent, Clarus said. While disagreeing with the ruling, the company said it would take no further action until LPCN-1021 is approved by the FDA. In the eventuality of the FDA approval coming through, Clarus said it would refile the lawsuit.

At last check, shares of Lipocine were down 9.57 percent at $4.16.

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