Ironwood, Allergan settle suit with Teva over IBS-C generic — 3 insights

Ironwood Pharmaceuticals and Allergan reached a settlement with Teva over Teva's abbreviated new drug application for a generic version of Linzess, a drug for irritable bowel syndrome with constipation.

What you should know:

1. Teva sought approval to market a generic version of Linzess, also known as linaclotide, before Ironwood and Allergan's patents expired.

2. Ironwood and Allergan granted Teva permission to market a 145 mcg and a 290 mcg generic version of Linzess in the U.S. effective March 31, 2029. However, Teva will not be allowed to market a 72 mcg version of Linzess.

3. The lawsuit between the companies will be dismissed if the settlement is approved by the Federal Trade Commission and Department of Justice.

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