NEW YORK (TheStreet) -- Avanir Pharmaceuticals (AVNR) spiked Wednesday afternoon after a court ruled in the company's favor in a patent litigation case, but the shares had fallen off considerably by the close of trading Thursday.
The stock dropped 6.63%, or 33 cents, to $4.65 at the closing bell. More than 11.2 million shares changed hands to easily surpass the average volume of 2,408,670. The stock had a range of $4.45 to $5.06 for the day and holds a 52-week range of $2.62 to $6.
On Wednesday, the U.S. District Court for the District of Delaware ruled in the company's favor in its patent infringement lawsuit against Par Pharmaceuticals and Impax Laboratories over NUEDEXTA.
The latter two companies had Abbreviated New Drug Applications for generic versions of NUEDEXTA capsules for the treatment of pseudobulbar affect, a medical disorder characterized by sudden and uncontrollable episodes of crying or laughing. After a six-day bench trial, the court ruled in Avanir's favor.
"We are very pleased with the Court's decision, as it confirms our continued belief in the strength of the patents covering NUEDEXTA," said Avanir President and CEO Keith A. Katkin in a statement. "Our focus remains on making NUEDEXTA available to patients suffering from the debilitating condition of PBA. This decision provides twelve-plus years of market exclusivity for NUEDEXTA."