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Arena And Vivus - It Is Prescripts Sold, Not Written!!!

Oct. 27, 2013 12:10 AM ETPFE, VVUS8 Comments
Spencer Osborne profile picture
Spencer Osborne's Blog
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It seems that a week can not go by where I do not receive a communication from an investor insinuating that one or the other company is "double counting scripts". The most common thing I see typically involves an Arena (ARNA) investor (typically an over passionate one) saying that Vivus (VVUS) instructs doctors to write two scripts to a patient. One is for the titration dose (which is free, and one is for the higher dose that the patient will start out on.

NEWS FLASH -----NEWS FLASH-----NEWS FLASH

IMS and Symphony count scripts SOLD, not scripts WRITTEN.

In many ways, both Arena and Vivus are getting "ahead" in the counting of scripts with free trials. Essentially two weeks of free pills from BOTH companies is counted as a script. This is followed up by a more regular prescription that is filled monthly.

Let's get crystal clear here. A doctor could sit down and write 1,000,000 scripts for either Belviq or Qsymia and it would have ZERO impact on the IMS or Symphony numbers.

The weekly numbers for both companies are what they are. There is no "funny business" or double counting here outside the benefit of an extra script the 15 days worth of free pills give BOTH companies.

This is the situation...If these companies were selling a ton of pills not a single person would be bringing up a myriad of excuses....Food for thought.

Disclosure: I am long ARNA.

Additional disclosure: I have no position in Vivus

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