Forward Pharma Falls On Biogen Patent Victory Over MS Drug Ingredient

Forward Pharma A/S FWP plummeted 30 percent Friday on news of Biogen Inc BIIB’s patent victory over the active ingredient in their competing multiple sclerosis treatments. Biogen popped 1.5 percent on the news.

Forward had previously won a number of legal cases in the U.S. to prevent patent-infringement on dimethyl fumarate (DMF) and recently demanded royalties from Biogen for its Tecfidera. Following the battles, Biogen made a $1.25 billion bid to acquire the patent in January, but Forward refused to accept, prompting Biogen to pursue legal action. The latest ruling could free Biogen to market Tecfidera without restriction.

In a related patent case, a district court found all four patents for Acorda Therapeutics Inc ACOR’s Ampyra — another multiple sclerosis drug — invalid. Acorda fell 30 percent at the time.

Peer Alkermes Plc ALKS also fell 5.3 percent on the market news. At time of publication, Biogen was up 1.25 percent, Forward down 19.7 percent and Acorda down 24.1 percent on the day.