Wednesday, 29 June 2016
Last updated 1 hour ago
Aug 29 2014 | 7:23am ET
Pharmaceutical giant Merck & Co. will have to answer a hedge fund’s questions, a federal judge ruled this week.
U.S. Magistrate Judge Douglas Arpert in Trenton, N.J., ordered Merck to respond to a subpoena issued by BVF Partners, part of its lawsuit against Celera Corp. Celera has a royalty interest in an osteoporosis drug sold by Merck, Odanacatib.
BVF, which runs the Biotechnology Value Fund, has sued Celera for allegedly undervaluing the company as part of its sale to Quest Diagnostics in 2011. In particular, the hedge fund says that Celera downplayed Odanacatib’s value.
Arpert noted that Merck’s “analyses and valuations of Odanacatib could serve as important data points to establish the true value of the drug.”
Odanacatib is still awaiting federal approval.