Morning Briefing
Summaries of health policy coverage from major news organizations
Skyrocketing Insulin Prices Prompt Senators To Launch Bipartisan Investigation
Reuters: U.S. Senators Launch Bipartisan Probe Into Rising Insulin Prices
Two top U.S. senators launched an investigation into rising insulin prices on Friday, sending letters to the three leading manufacturers seeking answers as to why the nearly 100-year-old drug's cost has rapidly risen, causing taxpayers to spend millions of dollars a year. Republican Senator Chuck Grassley, chairman of the Senate Finance Committee, and Senator Ron Wyden, the committee's top Democrat, sent letters to the heads of Eli Lilly and Co, Novo Nordisk A/S and Sanofi SA, the long-time leading manufacturers of insulin. (Abutaleb, 2/22)
Stat: Powerful Senate Committee Launches Bipartisan Probe Into Insulin Pricing
The bipartisan investigation is the latest sign of Washington’s growing interest in the rising price of prescription drugs and highlights in particular the increasingly central role the Finance Committee is playing in that debate under its new chairman, Sen. Chuck Grassley (R-Iowa). The same panel will hear from seven drug industry CEOs — including Sanofi’s CEO Olivier Brandicourt — about the rising cost of drugs Tuesday. (Florko, 2/22)
The Associated Press: Congress Mulls Cap On What Medicare Enrollees Pay For Drugs
With health care a top issue for American voters, Congress may actually be moving toward doing something this year to address the high cost of prescription drugs. President Donald Trump, Democrats trying to retire him in 2020, and congressional incumbents of both parties all say they want action. Democrats and Republicans are far apart on whether to empower Medicare to negotiate prices, but there's enough overlap to allow for agreement in other areas. (Alonso-Zaldivar, 2/24)
Stat: FDA Slammed For ‘Reckless Decision’ To Allow A Gout Drug To Remain Available, Despite Heart Risks
Despite indications that a gout pill is associated with an increased risk of heart attack and death, the Food and Drug Administration is allowing the medicine to remain on the market, but will require the label to carry a so-called Black Box, the most serious warning about the risk of a medication. In explaining its decision, the agency maintained that the drug, called Urolic, may benefit some of the roughly 8.3 million Americans who suffer from this form of arthritis. Gout occurs when too much uric acid crystallizes and forms deposits in the joints, causing acute episodes of extreme pain. (Silverman, 2/22)
CQ: FDA Goes Against Deregulatory Grain
In an era of widespread deregulation under the Trump administration, the Food and Drug Administration is bucking the trend. The FDA announced on Feb. 11 it would begin strengthening regulation of dietary supplements, its most significant oversight effort in that area in decades. The dietary supplement industry is worth more than $40 billion, with more than 50,000 separate products. (Simon, 2/25)
The Wall Street Journal: Roche Agrees To Buy Biotech Firm Spark Therapeutics
Roche Holding AG has agreed to buy Philadelphia biotechnology company Spark Therapeutics Inc., as the Swiss drugmaker seeks to expand its presence treating hemophilia. The companies said Monday that Roche would acquire Spark for $114.50 a share and that the deal is expected to close in the second quarter. The deal corresponds to a total equity value of about $4.8 billion on a fully diluted basis, inclusive of approximately $500 million of projected net cash expected at the transaction’s closing, Spark said. (Cimilluca, Mattioli and Rockoff, 2/23)
Stat: Here Are Five Immediate Takeaways From Roche’s $5 Billion Acquisition Of Spark Therapeutics
The Wall Street Journal reported Saturday that Roche is in talks to buy Spark at a 150 percent premium to the smaller company’s market capitalization as of Friday. The talks could still fall apart, the Journal said, and there is another, unnamed, bidder in the mix. But a deal could be reached as soon as Monday. Here are five things to keep in mind about this news for anyone who cares about the biotechnology sector. (Herper, 2/25)
Tampa Bay Times: Senate President Cautious On DeSantis Drug Importation Proposal
A proposal from Gov. Ron DeSantis to reduce prescription drug prices by importing medications from Canada is drawing concerns from the leader of the Florida Senate, who said Friday he worries parts of a plan sketched out by the House might run afoul of Congress’ jurisdiction. Senate President Bill Galvano, R-Bradenton, told reporters Friday that the governor’s plan to allow the state to import drugs from America’s northern neighbor was something he was “interested in exploring,” particularly to save the state money for Medicaid patients or institutions like state prisons’ health care. (Koh, 2/22)
