Pharma Bro Martin Shkreli Is Diligently At Work On A Big Second Act From His Prison Cell
With the help of a contraband smartphone, disgraced pharma executive Martin Shkreli is still calling the shots at Phoenixus AG, the drug company that used to be called Turing Pharmaceuticals AG. The Wall Street Journal goes inside the prison walls to see just what kind of life Shkreli is leading. In other pharmaceutical news: in a drug pricing hearing, Republicans warn against lawmakers undermining innovation; FDA issues a draft on naming features for biosimilar medicines; Anthem promises more transparency with its new PBM; and more.
The Wall Street Journal:
Martin Shkreli Steers His Old Company From Prison—With Contraband Cellphone
From a top bunk in a 12-person prison cell in Fort Dix, N.J., Martin Shkreli is at work on a big second act. Wielding little more than a contraband smartphone, the disgraced pharmaceutical executive remains the shadow power at Phoenixus AG, the drug company that became a national lightning rod for jacking up the prices of rare drugs under its former name, Turing Pharmaceuticals AG. Mr. Shkreli still helps call the shots. A few weeks ago he rang up his handpicked chief executive during a safari vacation—to fire him, according to a person familiar with the exchange. This is the secret life of inmate 87850-053, 16 months into a seven-year sentence for securities fraud. (Copeland and Hope, 3/7)
CNN:
Martin Shkreli Continues To Run Business From Prison, Report Says
Shkreli is reportedly running Phoenixus AG, formerly known as Turing Pharmaceuticals. In 2015, when Shkreli was the CEO, Turing raised the price of the lifesaving drug Daraprim used by AIDS patients from $13.50 a pill to $750 a pill. The price hike sparked a public outcry. The Journal says that Shkreli anticipates the company will grow more successful while he's in prison. He believes the company, of which he owns 40%, could be worth $3.7 billion by the time he gets out of prison. (Isidore, 3/7)
Stat:
GOP Lawmakers Lambast Push To Strip Pharma's Patents
Republicans redrew their line in the sand on drug-pricing issues Thursday, with two GOP lawmakers warning forcefully that stripping monopolies from manufacturers would “radically undermine innovation.” Rep. Devin Nunes (Calif.), the top Republican on the House Ways and Means health subcommittee, and Rep. Kevin Brady (Texas) cast Democratic proposals as big-government industry takeovers in a letter addressed to the subcommittee’s top Democrat — even as other Republicans have hinted at willingness to crack down on monopolies for high-priced drugs. (Facher, 3/7)
Kaiser Health News:
In Hearing, Republicans, Democrats Spar Over How Best To Lower Drug Prices
While the high cost of prescription drugs seems to be a universally agreed-upon trouble spot in the American health system, a House Ways and Means subcommittee hearing Thursday showed that Democrats and Republicans are still miles apart on what to do about it. The hearing, focused on using Medicare to encourage affordability, competition and access to medicines, marked the first time since Democrats took control of the House that this panel has dug into a drug pricing issue. It is one of many hearings on the subject in both chambers of Congress this year. (Bluth, 3/7)
Stat:
What’s In A Name? FDA Changes Course For Biosimilar Names And Upsets Generic Makers
In an unexpected move, the Food and Drug Administration has decided that biosimilar medicines should have distinct naming features from brand-name biologics in order to bolster patient safety, a step that has infuriated biosimilar manufacturers. Specifically, the FDA issued a draft guidance that says biosimilars should have four-letter suffixes added to their names, but brand-name biologics will not need such a feature. In doing so, the agency is trying to settle a long-running debate over the best approach for naming biosimilars, which has vexed regulators and divided drug makers over patient safety and the potential for big profits. (Silverman, 3/7)
Bloomberg:
Anthem Promises A New Type Of Drug Plan After PBM Scrutiny
Anthem Inc.’s new pharmacy-benefits manager, IngenioRx, will be a more transparent, more customer-friendly business in an industry that has come under criticism from patients and politicians, executives at the health insurer said Thursday. For example, the new PBM will pass along rebates to customers at the pharmacy counter, the company said during an investor presentation. Critics have said that deep rebates on drugs help keep list prices high, which hurts patients who have to pay cash or a share of a drug’s total cost. Other PBMs have recently moved toward similar practices. (Tozzi, 3/7)
Stat:
Sanofi Falls Short In Efforts To Win Broad Backing On Dengue Vaccine
Sanofi on Thursday suffered a major setback in its bid to market a controversial dengue vaccine in the United States, as a Food and Drug Administration advisory committee recommended against approval for adults. The drug makers had asked the FDA to approve Dengvaxia for people aged 9 to 45. But the advisory panel recommended the agency license the vaccine only for people ages 9 to less than 17. (Branswell, 3/7)
