INO Health & Biotech Stock Guide
BIOTECH, HEALTH & PHARMA NEWS
2017 is kicking off to be an eventful year in the healthcare space. Regeneron was handed a devastating blow in federal court in a lawsuit filed by Amgen surrounding its cholesterol-lowering drug Praluent. Amgen claimed that Regeneron’s Praluent infringed on Amgen’s patents and competing drug Repatha in a long-standing patent lawsuit. Amgen previously won a trial in which Regeneron was shown to have infringed on two patents covering a class of cholesterol-lowering drugs. The most recent ruling stipulates that Regeneron must stop selling Praluent in the U.S. altogether due to “irreparable harm” to Amgen. It’s extremely rare to see a ruling in which a drug is ordered to be removed from the market as opposed to a financial penalty or royalties. Monetary implications at the moment are minor as Praluent and Repatha have had minimal sales through the first 9 months of 2016 of $75 million and $83 million, respectively. Despite these numbers, if positive data comes to fruition that extends a clinical benefit to more patients in lowering rates of heart attacks, strokes and death then Amgen’s drug could gain broader insurance coverage and ultimately sell $2-$4 billion on an annual basis worldwide. Amgen shares popped 5% on the news while Regeneron shares sank 6% albeit shares were halted once the ruling came down.