Spectrum Pharma Wins $4.3M in Arbitration Award in Dispute With Cell Therapeutics Inc.
Tue, 05/26/2009 - 6:11am
IRVINE, Calif. (AP) — Spectrum Pharmaceuticals Inc. said Tuesday it was awarded just under $4.3 million as an arbitration award in its ongoing dispute with Cell Therapeutics Inc. over joint venture expenses. In February, Seattle-based Cell Therapeutics exercised its option to sell its half of a stake in the cancer drug Zevalin to Spectrum for $18 million. The companies were partners on Zevalin and formed a 50-50 joint venture called RIT Oncology LLC in an effort to boost sales of the drug. The drug treats non-Hodgkin's lymphoma, a cancer affecting the lymph and immune system. Spectrum said the arbitration award calls for releasing $3.5 million from an escrow account and for Cell Therapeutics to immediately pay $776,454 through a wire transfer. Under the deal, the arbitration award is final and binding, Spectrum said.