Orexo reaches preliminary settlement with U.S. Department of Justice

Orexo AB has reached a non-binding agreement in principle to settle a U.S. Department of Justice investigation that has been ongoing since 2020. The settlement is expected to take the form of a Non-Prosecution Agreement and a separate civil settlement.

Under the terms of the agreement, Orexo would pay USD 4 million in installments over several years. The company may also be subject to a capped contingent payment based on five percent of net sales, conditioned on specific sales thresholds being met during 2030-2031. The company stated that the settlement does not constitute an admission of wrongdoing by Orexo or its employees.

Additionally, two former Orexo employees in the U.S. have reached similar agreements in principle to resolve civil claims. Orexo intends to seek insurance coverage for the full settlement amount related to these former employees.