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Allergy Therapeutics plc

Allergy Therapeutics plc Receives $7.6m in Successful litigation settlement

Allergy Therapeutics plc (LON: AGY), the fully integrated commercial biotechnology company specialising in allergy vaccines, announced today that it has received a $7.6m settlement from Inflamax Research Inc. in relation to legal proceedings about the previously disclosed inconclusive Phase II Grass MATA MPL trial which took place in the USA in 2015-16. Inflamax has also agreed to pay a substantial part of the Group’s legal costs.

The clinical trial (G204) used mobile challenge chambers provided by Inflamax and preceded the successful Grass MATA MPL trial (G205) which the Group reported in June 2018. The Group commenced legal proceedings in the English High Court against Inflamax in March 2017 for breach of contract and misrepresentation concerning the G204 Study.

Commenting on outcome, Manuel Llobet, CEO of Allergy Therapeutics, said:

“ATL has always had full confidence in the Grass MATA MPL product and maintained that the inconclusive results of the G204 study were due to the inadequate procedures in the study. I am pleased that Inflamax have now compensated ATL for a significant proportion of the wasted study costs, as well as agreeing to pay the majority of the legal costs. Allergy Therapeutics aims to maintain the highest standards throughout its business and we are pleased that the matter has now been resolved.”