A Delaware judge yesterday ordered Siga Technologies Inc., a supplier of an antiviral smallpox drug to the U.S. strategic stockpile, to pay PharmAthene Inc $113.1 million in damages in a licensing dispute, Reuters reported yesterday. The Delaware Court of Chancery on Aug. 8 ruled that PharmAthene is entitled to damages from Siga for its failure to execute a license agreement related to its main antiviral smallpox drug, Tecovirimat. Wednesday's ruling determined those damages, which are to include as-yet unspecified prejudgment interest, according to the order entered by Vice Chancellor Donald Parsons. PharmAthene said in a statement the total final award, including interest and reimbursement of a portion of PharmAthene's attorneys' and expert witness fees, will top $190 million. Siga said in 2011 that it won a five-year U.S. government contract for 2 million doses of the drug, in a deal that could be worth as much as $2.8 billion. In September, the company filed for bankruptcy, which would bar PharmAthene from enforcing the order. Siga said that its bankruptcy was necessary to allow it to keep operating while it appealed the August ruling.
