UK drugmaker GlaxoSmithKline has settled a patent dispute with the US subsidiary of India’s Glenmark Generics over a copycat formulation of its malaria prophylaxix drug Malarone.

Under the terms of the settlement, which is yet to be approved by the Federal Trade Commission and the Department of Justice, Glenmark will be able to sell its version of atovaquone/proguanil 250mg/100mg tablets under a royalty-bearing license from GSK from the third quarter of 2011, or even earlier under certain (undisclosed) circumstances.

Glenmark said it believes it is entitled to 180 days of exclusivity with respect to its formulation because it was first to file an abbreviated New Drug Application for its copycat of Malarone with regulators.

Meanwhile, the UK pharmaceutical giant has reportedly reversed a decision to close its production plant in Durham, Greene County, New York, essentially saving around 210 jobs from the scheduled cull.

According to various media reports, the drugmaker now plans to sink $56 million into the facility to transform the site into a ‘centre of excellence’ for oral care, and as part of the decision will shut down a plant in New Jersey instead.