Benzinga | Sep 28, 2021 12:40PM EDT

Teva Reaches Agreement With Louisiana To Settle State's Opioid-Related Claims

Teva Pharmaceuticals, a U.S. affiliate of Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA), has reached an agreement with the Attorney General (AG) of Louisiana that settles the state's opioid-related claims. The agreement is contingent on confirmation from the state by November 2, 2021 that all political subdivisions will release Teva as part of the settlement.

Under the terms of the settlement, Teva will pay Louisiana $15 million over an 18-year time period and will provide an additional donation of lifesaving medicines to aid in opioid addiction and recovery, valued at $3 million (wholesale acquisition cost). Teva continues to negotiate a national settlement and remains open in parallel to pursuing opportunities with individual states such as the deal announced today, as long as it is consistent with the nationwide approach. The Company will continue to defend itself in court in states such as New York and California where we have not reached terms of a settlement agreement.

Teva believes that today's settlement with Louisiana is a positive step forward in getting life-saving medicines to people suffering from opioid addiction.