ImClone Settles Patent Dispute for $65 Million

The biotech will pay Repligen and MIT in a lump sum.
By Elizabeth Trotta ,

ImClone Systems

(IMCL)

said Monday that it agreed to pay $65 million in a lump sum to the Massachusetts Institute of Technology and

Repligen

(RGEN) - Get Report

in patent-related settlement and sublicensing agreements.

The settlement ends litigation related to ImClone's cancer drug Erbitux and a patent that MIT owns and licenses exclusively to Repligen. In addition, Repligen granted ImClone a sublicense for future use of other patented technology, including a patent over which

Abbott Laboratories

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sued ImClone earlier this year.

Repligen expects about $40 million in net proceeds from the settlement after a portion is directed to MIT.

Shares of ImClone were up 29 cents, or 0.8%, to $37.03 Monday, while shares of Repligen slid 80 cents, or 16%, to $4.21.

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