NEW YORK — PDL BioPharma Inc. said Wednesday it will pay a total of $92.5 million to settle a patent dispute with AstraZeneca PLC’s MedImmune unit, and added that MedImmune will not pay any further royalties on sales of its virus treatment Synagis.
PDL said it has paid MedImmune $65 million, and it will pay another $27.5 million by Feb. 10, 2012.
MedImmune stopped paying royalties in September 2009 on sales of Synagis, a respiratory virus treatment PDL discovered, Because of the settlement. MedImmune will not have to make any further royalty payments to PDL. MedImmune also will not make any challenges to the Synagis patents, or assist other companies in challenging those patents.
The legal dispute between the companies lasted several years. In January, a federal court ruled in MedImmune’s favor, saying MedImmune did not violate the agreement between the companies and PDL’s patent infringement allegation was not valid. Other issues were going to be resolved in a jury trial.
PDL said MedImmune could request repayment on royalties if it was successful. It paid PDL $280 million between 1998 and 2009 as part of the Synagis licensing deal.
PDL BioPharma is based in Incline Village, Nev., and its shares fell 24 cents, or 4.4 percent, to $5.20 in midday trading.
AstraZeneca’s MedImmune business is headquartered in Gaithersburg, Md.