Pfizer and Takeda accept settlement offer for Protonix infringement

After an eleven-year battle, Pfizer Inc. and Takeda Pharmaceutical Co. reached a $2.15 billion settlement with Teva Pharmaceutical Industries Ltd. and Sun Pharmaceutical Industries Ltd. for patent-infringement damages resulting from their market introduction of generic Protonix in the U.S. while the patent for the active acid reflux treatment ingredient (pantoprazole) was still in force.

The split of the proceeds will interest analysts: Takeda (through acquisition) is the patent owner, and Pfizer owns an exclusive license. Pfizer will get 64% of the settlement's proceeds, and Takeda will get the rest.