Benzinga - by Vandana Singh, Benzinga Editor.
Thursday, GSK Plc (NYSE:GSK) resolved a U.S. lawsuit concerning its heartburn medicine Zantac shortly before the scheduled trial in California.
The company reached a confidential settlement with plaintiff David Browne, leading to the dismissal of his case, which was set for February 20.
GSK emphasized its commitment to avoiding prolonged legal distractions, asserting no admission of liability.
In October, GSK reached a confidential settlement in the Cantlay/Harper case filed in California state court. The case was dismissed.
Per the SEC filing, the company has resolved the final three breast cancer bellwether cases in California. Consequently, GSK will be exempted from these cases, alleviating the need for further pre-trial hearings.
Also Read: GSK Upgrades Long-Term Outlook After Q4 Performance, Shingrix Vaccine And Newly Launched RSV Vaccine Shine.
In August 2022, the plaintiff dismissed GSK’s first scheduled Zantac related-cancer trial, noting that it did not settle the claim and has not paid anything in exchange for the voluntary dismissal.
Zantac, approved in 1983, was one of the top-selling medications in 1988 and one of the first to exceed $1 billion in annual sales.
Zantac sales were suspended by some manufacturers in 2019 due to concerns that its active ingredient, ranitidine, could degrade to form a carcinogenic chemical called NDMA.
The FDA pulled all remaining brand names, Zantac, and generic versions from the market in 2020.
Citing analysts, Reuters reported an estimated total settlement costs for GSK of around $5 billion.
Price Action: GSK shares are up 2.94% at $40.60 on the last check Thursday.
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