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BASEL, Switzerland - Genevant Sciences, a subsidiary of Roivant Sciences Ltd. (NASDAQ:ROIV), and Arbutus Biopharma Corporation (NASDAQ:ABUS), have initiated international legal actions against Moderna (NASDAQ:MRNA), Inc., alleging infringement of patents related to their lipid nanoparticle (LNP) technology. The companies are seeking monetary damages and injunctions in cases filed across 30 countries, targeting Moderna's Spikevax® vaccine and other products purported to use the same LNP technology. According to InvestingPro data, Arbutus maintains a strong financial position with a current ratio of 7.02, indicating substantial liquid assets exceeding short-term obligations.
The lawsuits were filed today in several jurisdictions, including the Federal Court of Canada, the Tokyo District Court in Japan, and the Unified Patent Court (UPC) for multiple European countries. The companies claim that their LNP technology, essential for delivering mRNA to human cells, is being used without proper licensing in Moderna's products. With a market capitalization of $653.75 million and trading near $3.45 per share, Arbutus's stock has shown notable volatility, gaining over 23% in the past year despite recent challenges. InvestingPro subscribers can access detailed analysis and 8 additional key insights about ABUS's market position.
Genevant and Arbutus have provided evidence from tests on Moderna product samples sourced from the U.S. and Europe, which they assert contain LNPs covered by their patents. The legal actions follow an ongoing enforcement proceeding in the U.S. District Court for the District of Delaware, with a jury trial scheduled for September 2025. Based on InvestingPro's analysis, while Arbutus currently shows negative EBITDA of -$77.14 million, the company maintains minimal debt with a debt-to-equity ratio of just 0.06, positioning it well for potential legal proceedings.
The contested LNP technology comprises microscopic particles made from a selection of fat-like molecules, crucial for protecting mRNA molecules within the human body until they reach target cells. This technology is a significant scientific breakthrough, with Genevant's LNP platform already supporting the only approved systemic RNA-LNP product, patisiran.
Genevant Sciences specializes in nucleic acid delivery with a robust LNP patent portfolio, while Arbutus focuses on infectious diseases and is currently developing treatments for chronic hepatitis B. Both companies have licensed their LNP technology to various third parties, including Moderna in the past.
The information for this article is based on a press release statement.
In other recent news, Arbutus Biopharma Corporation announced significant leadership changes with the appointment of Lindsay (NYSE:LNN) Androski as the new Chief Executive Officer. Androski, who brings extensive experience from biotechnology, law, and academia, succeeds Michael J. McElhaugh. The company also reshaped its board of directors, introducing four new members while all previous members departed. This restructuring has reduced the board's size to five members, with plans to potentially add directors with clinical development expertise. In light of these changes, Arbutus will temporarily pause its participation in investor meetings and conferences as the new leadership reviews development plans and strategic options for its hepatitis B programs. The company continues to focus on advancing imdusiran (AB-729) for chronic hepatitis B and leveraging its Lipid Nanoparticle delivery technology in partnership with Genevant Sciences. Arbutus aims to streamline operations and enhance value for shareholders and patients. These developments were shared in a press release by Arbutus Biopharma Corporation.
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