- TheStreet's Adam Feuerstein says the price-containing Express Scripts/AbbVie exclusive Viekira Pak agreement may be a fatal blow to the current biotech bull market. He believes that PBM's like Express Scripts will be highly motivated to enter into exclusive deals in exchange for hefty discounts. Likely candidates for these arrangements would be cancer immunotherapies, many of which will cost $300K or more.
- The deal between a drug manufacturer and a pharmacy benefit manager (PBM) like Express Scripts should not be surprising considering the exorbitant prices for new therapies. This is one reason the FDA and EMA have extended priority review to new HCV drugs. Establishing a competitive market is be most effective way to moderate prices.
- The breathtaking ascent of Gilead's (NASDAQ:GILD) Sovaldi may be difficult to replicate, but there still is plenty of business out there for biotech firms.
- (NYSE:ABBV) (NASDAQ:ENTA) (NASDAQ:ESRX)
- Previously: Global drug tab will breach trillion dollar mark this year (Nov. 20, 2014)
- Previously: UniQure sets price record with Glybera (Nov. 26, 2014)