Novogen settles isoflavone suit, banks royalties

Biopharma company Novogen (ASX: NRT) has settled a patent infringement suit with giant US health food supplements retailer GNC. The lawsuit, which was settled out of court for an undisclosed sum, alleged that certain menopause products sold under the GNC brand infringed Novogen's red clover isoflavone patents.

As a result of the settlement, GNC will replace its own red clover isoflavone products with Novogen's Promensil brand of menopause supplements.

"It's a good start for Novogen as GNC calls itself the largest retailer [of natural product supplements] in the US," Novogen managing director Christopher Naughton said.

GNC has some 4800 retail outlets and 1800 franchises across the USA.

Novogen has also received AUD$1.1 million in milestone royalties from Solae for use of its soy isoflavone patents.

Solae, a joint venture between Dupont's Protein Technologies International and Bunge, has worldwide rights to soy applications based on Novogen's isoflavone technology, which it on-licenses to other companies for use in developing soy-based isoflavone products.

But Solae's licence does not cover the red clover isoflavones used in Novogen's natural products for menopause and prostate cancer, or the isoflavone derived synthetic drug phenoxodiol, under development by Novogen subsidiary Marshall Edwards as an anti-cancer drug.

At time of writing, Novogen shares wer