Valeant's stock has been slipping on drug-pricing worries, and one-time deal partner and company enthusiast Bill Ackman has certainly taken note. His hedge fund, Pershing Square Holding, recorded a 12.5% loss last month, Reuters reports, with news that lawmakers are looking into Valeant price hikes on a pair of older meds spooking investors.
Roche has been facing pricing pushback for its breast cancer drug Kadcyla in the U.K., with the country's cost watchdog nixing the med last year and the Cancer Drugs Fund recently rejecting it from its covered list. Now, patients are voicing their discontent, calling on Britain's health minister to override the company's Kadcyla patents and open the door for lower-priced copies.
With pharma's U.S. pricing power apparently in jeopardy, industry watchers are worried. Just take a look at drug stocks' performance over the past week or so, as a firestorm over an enormous price increase by one drugmaker--Turing Pharmaceuticals--inspired political promises and public rancor.
After the outpouring of rage that greeted Turing Pharmaceuticals last week when it decided to hike the price on an older med by 5000%-plus, its CEO, Martin Shkreli, is one of the last people any pharma chief would want to be compared with right now. But that's the position Valeant skipper J. Michael Pearson found himself in Monday afternoon.
Sure, Valeant has raised prices--and a lot, on some drugs. But employees shouldn't worry about it, despite the recent price-hike backlash plaguing the industry and its stock prices. That's the read from CEO J. Michael Pearson, who issued a letter on Monday to Valeant workers explaining that revenues from Isuprel and Nitropress--two products that saw their prices soar after his company picked them up--aren't part of the Canadian pharma's growth stats.
It's well known that the U.S. pays more for drugs than countries that use cost assessments and price caps do. But how much more? Up to 10 times, according to a new report from The International Federation of Health Plans.
The International Federation of Health Plans sifted through insurance data to compare pricing for prescription drugs in countries such as the U.S., Australia, Argentina, Spain and Canada and found enormous differences between the U.S. and other countries.
Amid all the drug-pricing brouhaha this week, a British pharmacologist was preparing to unveil his research showing just how much more Americans pay for cancer therapies. And while it's well known that medications cost more in the U.S. than in other countries, this new study puts some surprising numbers to that spread.
In the land of pharma, off-patent drugs usually translate to lost profits. But things don't always shake out that way, according to a new report from EvaluatePharma, which found that companies with aging blockbusters could be set to collect billion-dollar sales for the meds by 2020.
On Monday, Hillary Clinton spooked biotech investors with a tweet promising to crack down on high drug prices. Shares plummeted. On Tuesday, she'll publicly unveil her pricing proposals in an Iowa speech, but until then, her campaign has offered some quick hints.