Indivior shares crash as US Court of Appeal overturns drug ruling

FTSE 250 pharma giant Indivior saw its share price plunge more than 10 per cent in early morning trading, after a court ruling against the drug maker last night rocked investor confidence.

The US Court of Appeal yesterday decided that a generic drug company, Dr Reddy’s Laboraties, would be allowed to sell a copycat version of Indivior’s opioid treatment Suboxone.

Shares in the drug maker dropped nearly 13 per cent this morning, after hitting a record low yesterday on the back on the decision.

In a statement last night Indivior said that it would continue to vigorously pursue ongoing US patent litigation against Dr Reddy’s that seeks to block sales of the generic version.

The news comes several months after Indivior suffered a 35 per cent loss in its shares after issuing profit warning amid growing market competition.

In September the UK company said its guidance for the financial year was “no longer valid” following an abrupt shift in US market conditions.