Pacira Biosciences Stock Surges After-Hours On Exparel Patent Settlement: Retail Investors Rejoice

Shares of Pacira BioSciences Inc. soared over 22% in extended trading on Monday after the company said it had resolved a legal case over its long-acting pain medication. 

Pacira has settled litigation with Germany's Fresenius Kabi and its partners over patents related to Exparel, which reportedly provides pain relief for up to 72 hours after surgery.

As part of the deal, Fresenius is barred from marketing a generic version of Exparel until early 2030, when it will be allowed limited entry into the U.S. market under a confidential volume cap.

The licensed volumes will start in the high single-digit percentage range and gradually increase each year, reaching the high thirty percent by the agreement's final years. 

Still, Fresenius will be permitted to sell unlimited volumes of its generic version starting in 2039, before Pacira's last-listed Exparel patent expires in July 2044. 

On Stocktwits, sentiment for Pacira jumped into ‘extremely bullish’ levels late Monday, accompanied by a 50% jump in message volume over the last 24 hours.

"The settlement terms are notably favorable for Pacira. They've secured full exclusivity until early 2030 - providing at least 5 more years of uncontested market presence," said one user.

"Market hates uncertainty—this clears the deck," posted another.

In December 2024, Pacira was granted a U.S. Patent covering the chemical composition of Exparel.

That same month, the company filed a lawsuit in Illinois to defend Exparel against generic challengers.

Pacira’s stock has gained more than 20% this year.

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