Pfizer Inc. has settled in excess of 10,000 lawsuits alleging the concealment of cancer risks associated with its Zantac heartburn medication, the largest resolution in this ongoing legal battle.
According to Bloomberg, news of Pfizer's settlement only came up through a filing in a Delaware state court linked to another trial in Chicago. However, these agreements, spanning state courts nationwide, do not fully absolve Pfizer of Zantac-related liabilities.
While financial terms of the settlements remain undisclosed, the deal is expected to provide some reassurance to investors, who have witnessed similar resolutions by other Zantac manufacturers, such as GlaxoSmithKline (GSK), Plc, and Sanofi.
Why Has Zantac Been Discontinued
These lawsuits began when an independent laboratory discovered NDMA, a potential carcinogen, in both Zantac and its generic alternatives. After the FDA confirmed these findings in April 2020 and ordered the removal of all ranitidine-containing medications, including Zantac, from the market, Sanofi reintroduced Zantac without ranitidine.
Instead, they utilized famotidine, the active ingredient in a competing product, Pepcid.
Concerns about potential legal issues related to Zantac caused a major drop in the combined market value of the pharmaceutical companies involved, which totaled around $45 billion in 2022.
However, shares of these companies have since recovered, especially after news of settlements in similar cases became public.
The total number of lawsuits related to Zantac in Delaware has exceeded 70,000, leading to judicial examination regarding the strength of evidence in these cases.
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