Inovio wins an $80.4 million judgment but warns collection may be limited

Inovio ($INO) announced a favorable judgment totaling approximately $80.4 million in its litigation against VGXI and GeneOne Life Science. The award comprises roughly $61.8 million in compensation and $18.7 million in legal fees and costs. The case concerned contractual obligations relating to DNA-plasmid supply and technology transfer. The Pennsylvania court ruled in Inovio’s favor on its claims and against the defendants’ counterclaims.

The decision provides a potentially significant financial recovery and resolves the issues addressed by the judgment in Inovio’s favor. However, the award is not equivalent to cash received. Inovio cautioned that the defendants’ financial condition could prevent recovery of some or all of the amount. Investors therefore need to distinguish the legal result from its eventual liquidity impact: the announced judgment does not by itself establish a funded payment or a collection timetable.

Sources:

• Inovio — issuer judgment announcement
• Inovio — issuer judgment announcement