On Thursday, Watson Pharmaceuticals (NYSE:AGN) announced that the U.S. Food and Drug Administration has approved its Abbreviated New Drug Application (ANDA) for tranexamic acid tablets, a drug useful in controlling excessive bleeding .

Watson's ANDA product is the generic equivalent of Ferring Pharmaceuticals' Lysteda. Ferring is currently involved in litigation against Watson over the ANDA product, which Ferring says infringes on its patents. Ferring's Lysteda is routinely prescribed for treatment of heavy menstrual bleeding, and IMS Health reports that it generated $25 million in U.S. sales for Ferring in the 12 months ending November 2012.

Shares of Watson closed up 2% on the news at $85.91.