Alkermes Starts Arbitration Related to NanoCrystal Tech Agreements With Janssen

Alkermes plc ALKS commenced binding arbitration proceedings regarding two license agreements with Janssen Pharmaceutica N.V., a subsidiary of Johnson & Johnson JNJ.
Under these agreements, Janssen received access and rights to Alkermes' small particle pharmaceutical compound technology, known as NanoCrystal Technology, enabling several products.
Janssen partially terminated the agreements in the U.S., effective as of February 2022.
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The purpose of the arbitration is to settle, among other things, whether, notwithstanding its partial termination of the agreements, Janssen has a continuing obligation to pay royalties on the U.S. sales of products developed under the agreements.
Janssen has refused to pay any royalties since the effective date of the partial terminations. Alkermes strongly disagrees with Janssen's position and contends that it continues to owe royalties.
No resolution has been achieved. Alkermes remains open to a mutually agreeable resolution.
Price Action: ALKS shares are down 0.93% at $28.63 during the market session on the last check Tuesday.