Dermatology specialist Biofrontera (LON:B8F) has said it is taking legal action against a former supplier in order to "safeguard its interests and assets".
It has filed an action for what's called negative declaratory relief against Biosynth, which used to produce one of the main ingredients used in Ameluz, Biofrontera’s flagship products.
Negative declaratory relief provides protection people or companies drawn into legal disputes in foreign jurisdictions.
Problems arose when Biofrontera switched its supplier, citing quality issues.
This has prompted a legal claim from Biosynth, which said it was in a “mutual venture” with Biofrontera producing and marketing Ameluz.
“It is Biofrontera's belief that Biosynth uses untenable claims to put Biofrontera under pressure in order to trigger material financial concessions,” the AIM listed company told investors.
“To safeguard the interests and the assets of the company and its shareholders appropriately, Biofrontera will take resolute actions against this.”