Orexo Reaches Non-Binding Agreement To Settle US Justice Department Investigation

Swedish pharmaceutical company Orexo AB has reached a tentative deal to settle a US Department of Justice investigation. PR Newswire reports the company would pay USD 4 million in installments over several years, plus a potential bonus payment of up to five percent of net sales if certain sales targets are hit in 2030-2031. The settlement would take the form of a Non-Prosecution Agreement and a civil settlement, ending all DOJ exposure for the company.
Two former Orexo US employees have also reached separate agreements with the DOJ to resolve civil claims against them. ADVFN notes the settlement is still non-binding — meaning both sides have agreed in principle but must still finalize the legal documents. Once complete, the agreement will fully resolve the investigation.
Orexo will pay the penalty in two parts. First, the company must pay USD 4 million in multiple installments spread across several years. Second, PR Newswire explains that the company faces a contingent payment equal to five percent of net sales — but only if the company meets specific sales thresholds between 2030 and 2031.
This two-tier structure gives Orexo some financial relief if sales fall short of projections. The company will disclose the full financial impact of the settlement separately. The payment terms allow the Swedish firm to spread costs over time rather than pay a lump sum upfront.PR Newswire confirmed the arrangement resolves all outstanding DOJ claims.PR Newswire
The settlement includes a Non-Prosecution Agreement (NPA), a legal tool that shields companies from criminal charges if they meet agreed conditions. Yahoo Finance reports that once finalized, this NPA means Orexo faces zero criminal exposure from the DOJ investigation. The company also reaches a separate civil settlement to resolve remaining claims.
NPAs are commonly used by federal prosecutors to resolve corporate investigations without requiring guilty pleas or criminal convictions. For Orexo, the agreement eliminates uncertainty about potential criminal liability. The deal remains non-binding until both sides sign final documents, but both parties have agreed on the core terms.PR Newswire
Two former Orexo US employees have negotiated their own agreements in principle with the DOJ to resolve civil claims against them individually. PR Newswire states these separate settlements allow the former employees to resolve their exposure without admitting wrongdoing in formal court documents. The terms of those individual agreements have not been disclosed.
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