Coronavirus drug Remdesivir to run $3,120 for insured patients
While there are still no COVID-19 treatments approved by the Food and Drug Administration, scientists have found some success in hastening the recovery time of severe patients by using remdesivir.
Now, the guessing is over.
Multiple global trials of remdesivir are ongoing, and an inhaled version of the intravenous drug that could be taken outside a hospital setting is also being tested, the company said.
This mean the price for a five-day course, the standard treatment, comes out to $2,340 per patient.
"While we don't pretend to be pricing experts, this range seems reasonable considering that the value of early discharge is $12,000 per the USA government (which could be increased based on the average four-day shortening of stay) and that Gilead is spending $1 billion on manufacturing by year-end".
"Part of the intent behind our decision was to remove the need for country by country negotiations on price", Gilead chairman and CEO Daniel O'Day said in an open letter.
The price tag is below the $5,080 per course recommendation by USA drug pricing research group, the Institute for Clinical and Economic Review (ICER), last week.
The price sets a benchmark for all other treatments and vaccines in development for Covid-19, which shows profit is possible though it may not be as large as some had hoped. However, if low-priced steroid dexamethasone-which made a big splash recently with preliminary data-does deliver peer-reviewed data showing it can save the lives of seriously ill patients, remdesivir's price should drop to the range of $2,520 to $2,800, according to ICER.
Remdesivir's selling price has been hugely predicted because it grew to become the 1st medication to display reward in the pandemic, which has killed a lot more than 50 % a million men and women globally in 6 months. It argued remdesivir could save $12,000 per patient by getting people out of the hospital faster.
Coronavirus: Melbourne schools undergo deep cleaning as new COVID cases emerge
On Sunday, another 49 cases of coronavirus were announced , taking the state's total number of cases to more than 2,000. Six of the new cases are believed to be from community transmission, health minister Jenny Mikakos said today.
BofA's Take: BofA Securities has been estimating the total cost of remdesivir treatment at $5,000, with potential price controls factored in, analyst Geoff Meacham said in a recent note.
On the other hand, Gilead investors may find the price less appealing.
Rates outperform and is revisiting remdesivir sales forecasts and Gilead's valuation. And now, a modest pricing strategy following cost-effectiveness models' suggestions offers a relief from the possibility of damage to the company's reputation, which could hurt Gilead's business elsewhere.
GILD Price Action: Gilead shares were up 1.42% at $75.63 at the time of publication Monday.
O'Day obviously also sees the long-term value in pricing remdesivir reasonably.
After this period, once supplies are less constrained, HHS will stop managing the allocation, Gilead said.
"The price puts to rest any notion that drug companies will "do the right thing" because it is a pandemic", Dr. Peter Bach, a wellness coverage specialist at Memorial Sloan Kettering Most cancers Heart in NY explained in an e mail.
Countries in the developing world will get the drug at greatly reduced prices through generic manufacturers to which Gilead has licensed production.
Recommended News
-
30 June 202020 players, 11 support staff leaves for Manchester
The board, clearly upset with Hafeez's refusal to go into quarantine gave him a rap on the knuckles. Hafeez's result came positive along with nine other players and an official.
30 June 2020Iran issues arrest warrant for Donald Trump
Iran's semi-official news agency Fars reported Tehran is now asking Interpol to assist with the arrest of US President Donald. The Pentagon blamed Soleimani for the deaths of hundreds of Americans and USA allies in the months leading up to his killing.
30 June 2020IPhone 12 won't be bundled with earbuds or charger, says analyst
To put that into perspective, Apple's current spec monster, iPhone 11 Pro , can only manage to record 4K video at 60fps. That's going to be good for Apple's bottom line - even if customers are unlikely to be too happy with it immediately. -
29 June 2020Beyoncé Drops Teaser Trailer For Visual Album 'Black Is King'
Queen Bey voiced the character Nala in The Lion King: The Gift , the anniversary of which this latest release coincides with. It took one year to produce the film, with Bey working alongside a crew that represented "diversity and connectivity".
29 June 2020Two killed in California shooting
The ordeal was over in less than 45 minutes after officers shot the suspect in the upper chest, according to radio communications. Police say two died, including the shooter, and four others went to the hospital with injuries ranging from minor to moderate.
29 June 2020Really? Liverpool slam OWN FANS for celebrating title
The Northern Irishman is now the manager of Leicester City , who are third on the EPL table, and when they face Chelsea in FA Cup quarterfinal on Sunday, Rodgers hopes his team will prove their worth. -
29 June 2020California Governor Urges Imperial County To Enact Stay-At-Home Order
Still, the coronavirus continues to spread rapidly in the area, with a per-capita infection rate almost seven times the state average.
29 June 2020California Regulators Set To Approve Nation's 1st Electric Truck Mandate
Nichols said the board plans to adopt rules next year requiring fleets to have a certain percentage of electric trucks. All truck manufacturers are developing electric trucks, powered either by batteries or by hydrogen fuel cells.
29 June 2020Young people's mental health suffering during lockdown says charity
Commenting on the importance of being kind, Mr Fell said: "It's okay to not be okay". "The pandemic is an opportunity to do that". And, like Coronavirus , mental health challenges don't target specific people - we're all susceptible to them. -
30 June 2020Barista 'abused' by customer refusing to wear mask gets $75000 in donations
He said the donations will enable him to pursue a dream of dancing and teaching dance to children. This was exactly what happened in a Starbucks store in San Diego recently.
30 June 2020Microsoft is Closing Its Retail Stores for Good
The retail giant announced on Friday (June 26) that all of its stores will be closed down, shifting instead to online sales. Microsoft's brick and mortar stores are becoming largely extinct as the company pivots even further into digital.
30 June 2020Trump retweets video with 'white power' chant, then deletes it
In recent weeks he pushed for a tough crackdown against the sometimes violent protests against injustice and police brutality. Trump often denies his language is racist or inflammatory and dismisses criticism of such rhetoric as political correctness.
