Here’s Our Take On Horizon Pharma PLC (HZNP)’s Fall Out And Regeneron Pharmaceuticals Inc (REGN)’s EMA Hit

The potential of this drug cannot really be understated. This indication is not well served by current alternatives, and the target population suffer from a range of symptoms, including eczema, lesions, depression and severe itching. There’s a multi billion-dollar annual market available when both the US and European markets are taken into consideration, with some estimates suggesting it’s as high as a $5 billion opportunity. The drug is probably going to hit markets under the moniker Dupixent, and will cost somewhere in the region of $30,000 annually for treatment. Of course insurers will bear the brunt of this annual cost, but it’s still going to be a pretty substantial burden on patients. With that said, with symptoms of this condition reportedly as bad as constant poison ivy itching, these patients wont mind bearing the cost for some degree of relief.

Exactly how much of this opportunity the two companies manage to net remains to be seen, but one thing is certain – if the relevant authorities give the drug a thumbs up come decision day, there’s going to be some strong upside momentum in market capitalization for both. As mentioned, the EMA has accepted the drug for review, but it is slightly less clear on its timeframes than the FDA. The drug has priority review in the US, and that’s where the March PDUFA comes in to play, but we’re probably looking at some time late 2017 before the EMA gives its ruling.

Note: This article is written by Mark Collins and originally published at Market Exclusive.