Liquidia to Pay $380.7 Million in Settlement with United Therapeutics

On October 13, 2026, Liquidia Technologies, Inc. and United Therapeutics Corporation (UTC) entered into a settlement agreement to resolve all ongoing litigation between the companies. The agreement resolves six pending lawsuits, including patent infringement cases and matters related to trade secrets and breach of contract. As part of the settlement, Liquidia will continue to market and sell YUTREPIA (treprostinil) inhalation powder for the treatment of pulmonary arterial hypertension (PAH).

Under the terms of the agreement, Liquidia will make a net payment of $175.0 million to UTC within 30 business days of the effective date. This net amount accounts for funds paid by UTC to Liquidia to settle antitrust litigation. Additionally, Liquidia will pay $145.4 million in two equal installments of $72.7 million, due on or before January 31, 2027, and April 30, 2027, respectively. In connection with the settlement, Liquidia will also pay an aggregate of $60.3 million to parties involved in the antitrust litigation related to Treprostinil Injection.

As a condition of the settlement, Liquidia is required to file a supplement with the U.S. Food and Drug Administration (FDA) to remove the pulmonary hypertension associated with interstitial lung disease (PH-ILD) indication from the YUTREPIA product label. The company will also cease marketing, advertising, and promoting YUTREPIA for the treatment of PH-ILD. The agreement includes mutual releases and stipulations to dismiss the litigations with prejudice.

To secure the financing for these payments, Liquidia entered into a Seventh Amendment to its Revenue Interest Financing Agreement with HealthCare Royalty Partners IV, L.P. The amendment increases the minimum cash covenant under the financing agreement from $15.0 million to $45.0 million. The company stated that it expects to fund the payments from ongoing sales of YUTREPIA and existing cash reserves. Preliminary, unaudited results for the third quarter of 2026 showed YUTREPIA net product sales of $222.7 million and total cash and cash equivalents of $396.1 million.