Teva Pharmaceutical Industries Tuesday developed its generic version of Mylan’s EpiPen for young kids available in most retail drugstores at $300 for a 2-pack.
U.S.-listed shares of the Israel-based firm climbed 4.9% to $7 in afternoon trading.
Teva, the world’s largest generic drugmaker, is already selling the product for adults, after getting U.S. support for its copy of EpiPen a years ago, after several years of delay.
Raymond James analyst Elliot Wilbur estimates the current U.S. epinephrine market is worth about $700 million.
The launch of the EpiPen generic for kids comes as welcome news for the corporate, as analysts have raised concerns over its ability to pay down its debt load, which was $28.7 billion at the end of June.
The drug manufacturer has been struggling with dropping costs of generics and faces suits that allege it helped spark the U.S. opioid addiction epidemic.
On Tuesday, peers Endo International and Allergan provisionally agreed to pay $15 million to avoid going to trial in October in a landmark case involving two Ohio divisions accusing certain drugmakers and sellers of fueling the opioid crisis.
Teva, which in May agreed to pay $85 million as a settlement to the state of Oklahoma in another opioid-linked suit, is set to face trial on Oct. 21.
Mylan further makes a generic version of its life-saving EpiPen allergy treatment, which like Teva’s product is priced at about $300.
There was a shortfall of EpiPens in Europe, Canada, and the US primarily because of a series of production delays at Pfizer’s Meridian Medical unit that makes all EpiPens sold globally at a single plant near St. Louis.