Latest News: Technology |  Celebrity |  Movies |  Apple |  Cars |  Business |  Sports |  TV Shows |  Geek

Trending

Filed under: News

 

Did One Of The Top 10 Upside Surprises In The History Of The Biotech Sector Just Happen?

1 Updates
 
 

Comments

Full Story

Did One Of The Top 10 Upside Surprises In The History Of The Biotech Sector Just Happen?

On Friday, the Food and Drug Administration approved a pill called Orenitram, to treat pulmonary arterial hypertension. It is an oral version of an injected drug called Remodulin, which treats the same disease. According to Mark Schoenebaum at ISI Group, the approval is “an enormous surprise — arguably, one of the top 10 biggest upside surprises in the history of the biotech sector.”

Why? Well, for one thing, Orenitram’s benefit isn’t that compelling. The FDA-approved labeling for the product characterizes the treatment effect as “small.” And the FDA had already rejected it twice, in March and October 2012. It seemed nearly impossible that the medicine would be approved  without additional data. Yet that’s exactly what has happened.

This is obviously a win for United Therapeutics, the drugs maker, and for Martine Rothblatt, the company’s chief executive and founder. It’s not clear how big a drug this will be. It could cannibalize sales from United’s other drugs, Remodulin and an inhaled version of Remodulin called Tyvaso. Those betting against the stock are likely to hope that this is its peak, Schoenebaum writes, and that sales will disappoint. The biggest threat against them is an experimental drug from rival Actelion whose clinical trials will read out later this year. Schoenebaum expects the drug to be priced at $150,000 per year, similar to Tyvaso, and says that every $100 million in sales will amount to about a dollar of earnings per share — about a 10% increase.

It’s another stunning moment in the story of United Therapeutics and Rothblatt. In fact, I’m writing this post mainly so I can link to that tale again.

In 1990, 6-year-old Jenesis Rothblatt’s lips turned blue. The little girl gasped for breath, could not climb stairs and was soon in the intensive care unit of Children’s National Hospital in Washington, D.C.

The disaster began a transformation for Jeni’s father–and a change in the way drugs for rare diseases are developed. Martin Rothblatt, a lawyer and businessman, turned his childhood passion for outer space into founding a series of companies that made him millions of dollars. First came GeoStar, a GPS-based navigation system, in 1986, then an early satellite radio company called Worldspace and finally Sirius Satellite Radio in 1990. In 1994 he underwent gender reassignment surgery and changed his name to Martine. Now a she, 55, Martine remains married to Jeni’s mom.

When Jeni became sick, Martine felt useless. “I was an expert in satellites, and I didn’t know anything about medicine,” she says. Jeni had pulmonary arterial hypertension (PAH), a rare and fatal disease that is caused when the artery between the heart and lungs is damaged. With 200,000 cases worldwide, PAH was too uncommon to win drug-development money. Martine Rothblatt sold her telecom stock and started a $3 million foundation to fund research, but three years went by without any progress.

In the end, this story led to a successful biotechnology company, and an entrant in the new world of drugs with six-figure price tags. It’s just one of those stories nobody could ever make up — at least, not if they expected to be believed.

Source: Forbes

 

iPad Air Giveaway. Win a free iPad Air.

You Might Also Like

Updates


Sponsored Update

Update: 1

Centurion Corp acquires Penang land to develop workers dorm

Source: The Edge Singapore

Centurion Corporation said it has agreed to acquire a piece of land located at Seberang Perai Selatan in Penang, Malaysia, for RM6.3 million ($2.45 million). This marks the group’s first acquisition in another state of Malaysia outside of Johor. Read m ...
Source: The Edge Singapore   Full article at: The Edge Singapore Aug 12 2014, 9:21am CDT
 


Advertisement


More From the Web

Shopping Deals

 
 
 

<a href="/latest_stories/all/all/31" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

 

Comments

blog comments powered by Disqus

Latest stories

Mo’ne Davis is a Source of Inspiration for so many
Mo’ne Davis is a Source of Inspiration for so many
The female baseball player, Mo’ne Davis is a source of inspiration for so many.
 
 
Google Chrome web browser launches in Cuba
Google Chrome web browser launches in Cuba
While Google's Chrome browser could speed up the experience, the real problem in Cuba is its Internet.
 
 
Hayden Panettiere takes on Ice Bucket Challenge while affirming her Pregnancy
Hayden Panettiere takes on Ice Bucket Challenge while affirming her Pregnancy
Hayden Panettiere has taken on the icy challenge of having cold water thrown on top of her while affirming news of her pregnancy.
 
 
Amazon plans to test its delivery drones in India
Amazon plans to test its delivery drones in India
Working on a law to limit drones may not be a priority for India, but when Amazon floods its skies with drones, it will soon realize a need.
 
 
 

About the Geek Mind

The “geek mind” is concerned with more than just the latest iPhone rumors, or which company will win the gaming console wars. I4U is concerned with more than just the latest photo shoot or other celebrity gossip.

The “geek mind” is concerned with life, in all its different forms and facets. The geek mind wants to know about societal and financial issues, both abroad and at home. If a Fortune 500 decides to raise their minimum wage, or any high priority news, the geek mind wants to know. The geek mind wants to know the top teams in the National Football League, or who’s likely to win the NBA Finals this coming year. The geek mind wants to know who the hottest new models are, or whether the newest blockbuster movie is worth seeing. The geek mind wants to know. The geek mind wants—needs—knowledge.

Read more about The Geek Mind.