1. FDA Approves Two New Drug Treatments for
Diabetes Mellitus
According to the
Centers for Disease Control and Prevention, approximately 21 million people in
the United States have been diagnosed with diabetes. Over time, diabetes
increases the risk of serious health complications, including heart disease,
blindness, nerve, and kidney damage. Improvement in blood sugar control can
reduce the risk of some of these long-term complications. The U.S. Food and
Drug Administration have approved Tresiba and Ryzodeg 70/30 to improve blood
sugar (glucose) control in adults with diabetes mellitus. Tresiba is a
long-acting insulin analog indicated to improve glycemic control in adults with
type 1 and 2 diabetes mellitus. Ryzodeg 70/30 is a mixture of insulin degludec,
long-acting insulin analog, and insulin aspart, rapid-acting human insulin
analog. It is indicated to improve glycemic control in adults with diabetes
mellitus. http://www.medicalnewstoday.com/releases/300212.php
2. Blood Test Could Replace Biopsy for Cancer
Diagnosis
A simple blood test
could be on the way to replacing the biopsy as the gold standard for detecting
cancer, saving lives and money, according to researchers in the UK. The new
treatment was presented at the annual World Conference on Lung Cancer in
Colorado by Eric Lim, consultant thoracic surgeon at Royal Brompton &
Harefield National Health Service (NHS) Foundation Trust. The new study,
carried out at Imperial College London, involved 223 patients with known or
suspected primary or secondary lung cancer who were about to undergo surgery.
In nearly 70% of cases, the blood test was accurate in predicting the presence
of cancer cells. http://www.medicalnewstoday.com/articles/299307.php
3. US FDA Sends Letter to DNA4Life over Consumer
Gene Tests
The U.S. Food and
Drug Administration sent a warning letter to privately held gene testing
company DNA4Life over its sale of an unapproved direct-to-consumer gene test to
predict drug response. In its letter, the agency said it was unable to identify
any FDA clearance for the company’s test. The letter follows 23andMe’s limited
relaunch last month of a series of direct-to-consumer tests after the agency
ordered the tests off the market. DNA4Life told Reuters in an earlier interview
that it did not believe it needed FDA approval to sell its test.
http://www.nytimes.com/reuters/2015/11/09/us/09reuters-usa-genetics-dna4life-fda.html
4. Obama Administration Sets Stage for a
Debate on Drug Costs
The Obama
administration set the stage for a national debate on the rising cost of
prescription drugs. Saying that too many people are struggling to pay for their
medications, Health and Human Services Secretary Sylvia Burwell opened a
daylong forum that presented a range of perspectives, from the pharmaceutical
industry to a cancer patient with $270,000 in bills for just one drug.
President Barack Obama has called for giving Medicare legal authority to
negotiate prices for high-cost “specialty drugs,” a small percentage of
innovative medications that accounts for more than one-third of spending. http://www.nytimes.com/aponline/2015/11/20/us/politics/ap-us-drug-costs.html?_r=0
5. U.S Funds Optimistic About Allergan Piled
in Before Pfizer Bid
Several large U.S.
funds that boosted their stakes in Allergan Plc in recent months appear to be
optimistic about the company’s growth prospects, even before Pfizer’s reported
$150 billion takeover bid for the Botox maker. Pfizer Inc. is negotiating to
buy Allergan, which also makes dry eye treatments, for $370 to $380 per share,
a person familiar with the discussions said, compared to its current traded
value of around $301. There is some dissatisfaction, however, with that price
range, according to a poll by Sanford C. Bernstein research. Its poll of 87
investors showed that 54 percent wanted $390 to $400 a share, but 36 percent
were satisfied with the lower reported price range.
http://www.nytimes.com/reuters/2015/11/20/business/20reuters-allergan-pfizer-investors.html
6. Why New Tax Inversion Rules Won’t Stop
Pfizer-Allergan Deal
Pfizer’s Allergan
inversion deal may be too big for even the U.S. government to stop. The U.S.
Treasury Department issued new rules to limit tax inversion deals to stop U.S.
companies from cheaply picking up small companies just for tax purposes. An
inversion takes place when a U.S. company buys a smaller, foreign rival and
reincorporates overseas in order to avoid U.S. taxes. The new rules include
provisions against “asset stuffing” and “cherry picking.” Though, neither of
these rules will affect the Pfizer deal because the drug maker has agreed to
pay up for rival Allergan, making the deal a so-called super inversion.
Pfizer-Allergan split goes beyond 60-40 which is beyond inversion rule’s
established bars. Pfizer is reportedly going to pay $150 billion for Allergan.
That’s 22% higher than where the company is trading right now. And Allergan’s
shares have already risen nearly 25% on the potential Pfizer deal, to around
$310. Pfizer has a market cap of around $200 billion. So the combined company
will be worth roughly $350 billion. The government can’t stop companies from
paying up for tax inversions, even if it would be better for shareholders if it
could. http://fortune.com/2015/11/20/why-new-tax-inversion-rules-wont-stop-pfizer-allergan-deal/
7. Sanofi, Hanmi Seal Diabetes License Deal
for up to $4.2 Billion
Sanofi has signed a
license deal with Hanmi Pharmaceutical to develop experimental, long-acting
diabetes treatments, the French drugmaker said on Thursday, in a move to revive
its diabetes division. South Korea-based Hanmi will receive an upfront payment
of 400 million euros ($434 million) and is eligible for up to 3.5 billion euros
in development, registration and sales milestones, as well as double-digit
royalties on net sales. In return Sanofi will get an exclusive worldwide
license to develop and commercialize Hanmi’s so-called GLP-1 diabetes
treatments. Hanmi will retain an exclusive option to co-commercialize the
products in Korea and China.
http://www.reuters.com/article/2015/11/05/us-sanofi-hanmi-diabetes-idUSKCN0SU0R120151105#DqvPQ1LuJSETZvI2.97
8. Hanmi, Janssen Launch Up-to-$915M+
Diabetes/Obesity Alliance
Hanmi Pharmaceutical
said it will partner with Johnson & Johnson’s Janssen Pharmaceuticals to
develop the Korean pharma’s Phase II-ready diabetes and obesity candidate
HM12525A (LAPSGLP/GCG) and other oxyntomodulin-based therapies. The
collaboration could generate up to $915 million for Hanmi. Janssen agreed to
obtain exclusive worldwide rights—except for Korea and China—to develop and
commercialize HM12525A. In return, Janssen agreed to pay Hanmi $105 million
upfront, and up to $810 million in payments tied to achieving potential
clinical development, regulatory, and sales milestones. Hanmi would also be
eligible for tiered double-digit royalty payments if HM12525A is successfully
commercialized. http://www.genengnews.com/gen-news-highlights/hanmi-janssen-launch-up-to-915m-diabetes-obesity-alliance/81251950/
9. AstraZeneca, Sanofi Agree to Share
Proprietary Compounds
AstraZeneca PLC and
Sanofi SA have agreed to share thousands of their proprietary chemical
compounds with each other, an unusual deal that shows the creative lengths to
which pharmaceutical companies will go to pursue new drugs. The deal involves
each company giving the other free access to 210,000 usually closely guarded
compounds. Each company can develop any of the shared compounds without any financial
obligation to the other. It is rare for companies to share their so-called
compound libraries with outsiders, because these are the starting point for
traditional drug development and are expensive to build up. But Mene Pangalos,
head of innovative medicines development at London-based AstraZeneca, said he
didn’t see “any risks” in sharing around a 10th of the company’s library with
Paris-based Sanofi, even though the pair directly competes in several disease
areas. http://www.wsj.com/articles/astrazeneca-sanofi-agree-to-share-proprietary-compounds-1447977780
10. Doctors’ Proposed Ban of Drug Ads Goes
After Top Magazine Ad Category
Pharmaceutical
companies spent $4.5 billion on advertising prescription medications in the
U.S. in 2014, up 18% from the prior year, according to data from WPP research
firm Kantar Media. The American Medical Association has called for a ban of
direct-to-consumer advertising of prescription drugs, a major source of ad
revenue for print magazines. The AMA, a professional organization of doctors in
the U.S., said it has adopted a new policy supporting the ban of such ads and
for greater transparency in prescription drug prices and costs. Legislation
would need to be passed by Congress to ban direct-to-consumer advertising of drugs
and the issue would likely raise questions about potential First Amendment
violations. Efforts to sharply restrict direct-to-consumer advertising of
prescription drugs have been defeated by Congress in the past. http://www.wsj.com/articles/doctors-proposed-ban-of-drug-ads-goes-after-top-magazine-ad-category-1447885280
11. Coty to Buy Hypermarcas Beauty Business
for About $1 Billion
Coty Inc. agreed to
buy the personal-care and beauty division of Brazil’s Hypermarcas SA for about
$1 billion in cash, turning again to acquisitions to expand its burgeoning
cosmetics line. The Hypermarcas beauty business generated $253.5 million in
revenue last year with brands such as Risqué nail polish and Paixão skin-care
products. The move follows an agreement in July to acquire more than 40 Procter
& Gamble Co. beauty brands, a $12.5 billion deal that’s poised to turn Coty
into one of the world’s largest cosmetics companies The Hypermarcas deal gives
Coty a platform to sell its existing lineup in Brazil, as well as the products
it’s getting from P&G. The Hypermarcas transaction is slated to close by
the end of March, while completion of the P&G deal is expected in the
second half of 2016.
http://www.bloomberg.com/news/articles/2015-11-02/coty-to-acquire-hypermarcas-beauty-business-for-about-1-billion
12. Dangerous Chemicals in Cosmetics Spur
Action by Lawmakers
Cosmetics and skin
care products are largely unregulated. Today’s products are made with chemicals
like formaldehyde -- used in products from nail polish to some chemical hair
straighteners - which is known to cause cancer. Other commonly used cosmetic
preservatives include propylparaben and lead acetate, used in hair dye. Under
the proposed law, the FDA would test whether those chemicals are being used at
safe levels. If not, they can force a recall. The biggest offenders are hair
products, especially straighteners, and newer nail polishes that last more than
a week - all largely unregulated. That’s not the story in other countries. The
European Union bans more than 1,000 chemicals from personal care products. Of
those, the U.S. bans 11. Dermatologist Dr. Elizabeth Tanzi was on Capitol Hill
to urge Congress to pass the tougher new legislation.
http://www.cbsnews.com/news/new-legislation-proposes-greater-fda-oversight-of-chemicals-used-in-beauty-skin-products/
13. FDA Approves Cotellic as Part of
Combination Treatment for Advanced Melanoma
The U.S. Food and
Drug Administration have approved Cotellic, a drug produced by Swiss biotech
company Roche, for use in combination with the vemurafenib medication as a
treatment for advanced melanoma. The drugs are intended to target the illness
after it has spread to other parts of the body or can’t be removed by surgery.
The FDA said the safety and efficacy of Cotellic in combination with
vemurafenib were shown in a clinical study of 495 patients with previously
untreated, advanced melanoma that demonstrate the BRAF V600 mutation.
http://www.wsj.com/articles/fda-approves-roches-cotellic-treatment-for-melanoma-1447182496
15. World’s Top Innovator South Korea
Dominates Asian Stock Winners
South Korea, which
topped the Bloomberg Innovation Index in January, is now dominating Asian stock
markets with seven of the 10 best performers this year. In the Bloomberg
Innovation Index for 2015, South Korea ranked No. 1 in measures of research and
development, patents and post-secondary education and fourth in hi-tech
companies, while scoring highly in both manufacturing and research personnel.
Hanmi Science Co. and affiliate Hanmi Pharm Co. soared 919 percent and 681
percent each after clinching deals to sell lung cancer and diabetes treatments
overseas. Amorepacific Corp. climbed 107 percent as its Air Cushion foundation
cream won positive reviews, driving a 51 percent jump in its net profit in the
nine months through September. Celltrion Inc., which developed an arthritis
medicine, more than doubled. http://www.bloomberg.com/news/articles/2015-11-11/world-s-top-innovator-south-korea-dominates-asian-stock-winners