NeuroVive announces ruling from Supreme Court in case between the company and CicloMulsion AG
Lund, 30 April, 2019— NeuroVive Pharmaceutical AB (Nasdaq Stockholm: NVP, OTCQX: NEVPF) announced today that the Supreme Court had delivered its ruling concerning arbitration between NeuroVive and CicloMulsion AG. After the Scania and Blekinge Court of Appeal had set aside the arbitration award in January 2018, NeuroVive appealed to the Supreme Court on certain points. The Supreme Court today rejected the appeal. This means that the arbitration award is ultimately set aside on these points, and that CicloMulsion can again have its claims examined in an arbitration process.
In 2004, NeuroVive entered into a License Agreement with CicloMulsion AG under which NeuroVive secured the rights to certain patents in conjunction with using a specific pharmaceutical technology. In March 2013, CicloMulsion AG commenced arbitration seeking declaratory relief aimed at establishing the company’s rights to royalties, which CicloMulsion AG claims that NeuroVive is obliged to pay under the terms of the License Agreement. The arbitration tribunal determined, among other things, that NeuroVive is to pay future royalties based on sales in the countries where there were previously existing patents covered by the license agreement. The award was contested on different points by both parties.
The ruling of January 12, 2018 from the Scania and Blekinge Court of Appeal included a statement that all parts of the award would be set aside, but also that the case covers issues that are of importance for adjudication, which is why the Court of Appeal allowed the appeal to the Supreme Court. At that point, NeuroVive appealed parts of the ruling.
“Today, the Supreme Court unexpectedly rejected our appeal, which means that the previously announced award is ultimately set aside on the points appealed. This means that the award is no obstacle for CicloMulsion to again have the claim, which had been decided in arbitration, examined in an arbitration process. We now expect the arbitration process to continue in the new arbitration board,” says NeuroVive CEO Erik Kinnman.
Through the ruling from the Supreme Court, NeuroVive has also been ordered to compensate CicloMulsion’s court costs of SEK 531,899 and EUR 20,187 for the Supreme Court.
This information is information that NeuroVive Pharmaceutical AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out below, at 5.00 p.m. CEST on 30 April 2019.
For more information please contact:
Catharina Johansson, CFO, IR & Communications
+46 (0)46-275 62 21, email@example.com
NeuroVive Pharmaceutical AB (publ)
Medicon Village, SE-223 81 Lund, Sweden
Tel: +46 (0)46 275 62 20 (switchboard)
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NeuroVive Pharmaceutical AB is a leader in mitochondrial medicine, with one project in clinical phase I (KL1333) for genetic mitochondrial diseases and one project in preparation for a clinical phase II efficacy study for the prevention of moderate to severe traumatic brain injury (NeuroSTAT®). The R&D portfolio also consists of projects for genetic mitochondrial disorders, NASH and cancer. The company advances drugs for rare diseases through clinical development into the market, with or without partners. For projects for common indications the goal is out-licensing in the preclinical phase. A subset of compounds under NeuroVive’s NVP015 program has been licenced to Fortify Therapeutics, a BridgeBio company, for local treatment development of Leber’s Hereditary Optic Neuropathy (LHON). NeuroVive is listed on Nasdaq Stockholm, Sweden (ticker: NVP). The share is also traded on the OTCQX Best Market in the US (OTC: NEVPF).