The European Union has fined two pharmaceutical laboratories for collusion to prevent a cheap alternative to a drug for its year-old disorders from reaching the market, for its own benefit already from diseases.
EU antitrust Commission Margrethe Vestager said Teva and Cephalon – a company later acquired by Water – had to pay 60.5 million euros ($ 72 million) to agree on delays during the launch years of Teva’s cheap version of Cephalon’s Modafinil. In exchange for the delay, he obtained some contracts and payments.
Vestager said that “the payment agreement for the delay of Teva and Cephalon harmed patients and national health systems by depriving them of more affordable medicines.”
Modafinil treats excessive daytime sleepiness and under the Provinil brand accounted for more than 40% of Cephalon turnover. A cheap alternative would have severely affected the company and according to the EU, in 2005 Cephalon convinced Teva not to enter its market. Teva acquired a Cephalon in 2011.
In a statement Teva said she maintained her innocence. “We continue to believe that the modafinil patent resolution agreement did not violate EU competition law in relation to the principles” established by the EU Court of Justice. “We are planning to file an appeal,” he added.