Inverness Medical settles patent dispute

Inverness Medical Innovations Inc., a maker of pregnancy tests and other rapid diagnostic products, said it has settled patent litigation with a French rival, Vedalab SA, and agreed to a distribution pact.

The patent litigation had been ongoing since 1997.

As part of the settlement, Vedalab paid about $5.1 million, and Waltham-based Inverness bought a minority stake in Vedalab for about $9.5 million.

Inverness gained exclusive US distribution rights to Vedalab's products, including future products. Vedalab also granted Inverness worldwide nonexclusive distribution rights to its products in several other countries.

Inverness granted Vedalab a royalty-bearing license under certain patents to manufacture its current products in its facility in Alencon, France.

Inverness shares rose a penny to close at $39.41.
(AP)