Gilead’s remdesivir worth $4,500 per patient – ICER

Gilead Sciences (NASDAQ:GILD) perks up 1% premarket on increased volume on the heels of initial analyses of the cost/benefit of remdesivir for the treatment of COVID-19 by the non-profit Institute for Clinical and Economic Review (ICER).

ICER constructed two models, one estimating cost-recovery pricing ($9.32/10-day course of treatment) and one its cost-effectiveness, estimated at ~$4,500 per course.

The cost-effectiveness model is based on the findings from the Adaptive COVID-19 Treatment Trial (ACTT) and includes the drug’s benefits on time-to-improvement and mortality, although the latter remains uncertain since the effect was not statistically significant in the study.

ICER emphasizes a threshold price of $50K per incremental quality-adjusted life year (and equal value of a life-year gained) in order to allow for the uncertainty and accommodate affordability for immediate broad use.

The company has committed to donate its entire stock of 1.5M doses due to the intense need. In an interview yesterday on CBS, CEO Dan O’Day said remdesivir should be available to doctor and patients this week. The company expects to manufacture 1M courses by year-end.

https://seekingalpha.com/news/3568221-gileads-remdesivir-worth-4500-per-patient-icer