Baltimore and Teva Agree to $80 Million Opioid Settlement
Baltimore has reached an $80 million settlement with Teva over the company’s role in the city’s opioid crisis. The agreement is one step in Baltimore’s ongoing effort to hold pharmaceutical companies accountable for an epidemic that has touched nearly every neighborhood and family in some way.
How the Money Will Be Paid
Under the deal, Teva will make a $35 million initial payment by the end of 2024. The remaining balance is due by July 1, 2025. The schedule spreads payments across two firm deadlines while aiming to move funds into local programs sooner rather than later.
Part of a Broader Legal Push
The Teva settlement fits into Baltimore’s wider legal strategy against opioid manufacturers and distributors. In recent years, the city has secured $322.5 million through settlements with AbbVie Inc’s Allergan, CVS Health Corp, and Cardinal Health Inc. Each agreement reflects the city’s determination to recover resources to address the damage the crisis has caused.
Why Baltimore Went Its Own Way
Mayor Brandon M. Scott explained that Baltimore declined to join a national settlement with Teva that would have brought in roughly $11 million over 13 years. By negotiating directly, the city achieved a far larger result on a much shorter timeline—money that can reach people and programs now, not a decade from now.
Where Baltimore Plans to Invest the Funds
The city intends to direct $5 million toward education and outreach tied to the 988 crisis helpline, $3 million to support the Penn North Recovery Center, and $2 million for BMore Power. These investments focus on education, treatment, and community-led support—core pieces of the city’s response to the opioid epidemic.
Teva’s Recent Product News
Separate from the settlement, Teva reported positive topline results from its Phase 3 SPACE study of Ajovy (fremanezumab). The trial evaluated prevention of episodic migraines in children and adolescents ages 6–17 and showed statistically significant efficacy. It’s an encouraging development in pediatric migraine care.
Stock Snapshot
Teva’s shares are trading around $17.55, down about 1.43%. Investors are watching the company’s legal and business updates closely as it balances ongoing challenges with potential growth.
Frequently Asked Questions
What is the total size of Baltimore’s settlement with Teva?
The settlement totals $80 million and addresses Teva’s role in the opioid crisis affecting Baltimore.
When are the payments scheduled to arrive?
Teva plans to pay $35 million by the end of 2024, with the remaining funds due by July 1, 2025.
Why didn’t Baltimore join the national Teva settlement?
The national deal would have yielded about $11 million spread over 13 years. By negotiating on its own, Baltimore secured a much larger amount on a faster timeline.
How will the city use the settlement money?
Baltimore plans to invest $5 million in education and outreach for the 988 crisis helpline, $3 million for the Penn North Recovery Center, and $2 million for BMore Power.
What other updates has Teva shared, and how is its stock performing?
Teva announced positive topline results from its Phase 3 SPACE study of Ajovy for preventing episodic migraines in ages 6–17. Its shares are trading around $17.55, down approximately 1.43%.
