Drugmaker Lupin settles US patent dispute with Astellas Pharma for $90 million

Indian drugmaker Lupin said on Tuesday it agreed to a $90 million settlement with Japan’s Astellas Pharma in a patent dispute over the bladder disorder drug Mirabegron, a move that allows it to continue selling the product in the United States.

Under the agreement, Lupin and its U.S. unit will pay Astellas a $75 million upfront payment and per-unit licensing fees on Mirabegron sales through September 2027, the company said in an exchange filing.

In a separate statement, the Japanese drugmaker said the settlement concludes its litigation with Lupin and added that it is reviewing the potential financial impact for the fiscal year ending March 31, 2026.

Lupin had previously disclosed the patent dispute with Astellas last April over its generic version of Myrbetriq, Astellas’ overactive bladder drug, after a U.S. court ruling raised the risk that generic versions could be withdrawn from the market.

Citi analysts said the settlement removes legal uncertainty around Lupin’s Mirabegron sales in the U.S. and could delay the entry of other generic rivals, potentially providing Lupin and Zydus Lifesciences, another drugmaker involved in the litigation, with a period of limited competition.

Lupin’s shares were trading up 0.91%, as of 11:01 am IST.