Merck appeals refusal to continue injunction against Clonmel Healthcare

The Court of Appeal will give a decision later on whether to grant an injunction preventing the distribution of a generic alternative to a cholesterol-reducing drug at less than one-tenth of its current price.

Pharmaceutical giant Merck Sharp and Dohme (MSD) last month got a temporary High Court injunction preventing rival Clonmel Healthcare from continue to sell a version of MSD's "Inegy" drug over alleged breach of trademark.

Following an urgent hearing at the end of April, the High Court refused to continue that injunction.

MSD then appealed to the Court of Appeal. Clonmel opposed the appeal.

On Friday, following a hearing, Mr Justice Michael Peart, on behalf of the three-judge court, said it hoped to give judgment in early June.

He said the court was very conscious of the importance and complexity of the issues involved, there was a lot to consider and the court would use its best endeavours to ensure its judgment would be given as early as possible in June.

MSD’s main action over the alleged breach by Clonmel of its patent rights has already been admitted to the fast track Commercial Court list.

MSD’s plant at Ballydine, Clonmel, Co Tipperary, manufactures the “Simvastatin” active ingredient for “Inegy”, used here by around 15,000 people per month to combat high levels of cholesterol in the blood, the main cause of cardiovascular diseases and which are the main cause of death in the Western world.

Some 50 per cent of Ballydine’s output constitutes Simvastatin and Inergy itself is worth around €8 million a year to the company, MSD says.

MSD is one of the top 10 largest pharmaceutical companies in the world and has spent more than $7.3 billion (€6 billion) on research and development, it says.

The price at which wholesalers sell Inegy to pharmacies is between €38.45 and €40.98, depending on strength. Clonmel’s “Ezetimibe/Simvastatin” product is sold at a net price of between €3.28 and €3.57, the court has been told.