Mylan Adds to Central Nervous System Meds in Launch of Generic Exelon Patch

Mylan N.V. (NASDAQ: MYL) today announced the U.S. launch of Rivastigmine Transdermal System, 4.6 mg/24 hrs, 9.5 mg/24 hrs and 13.3 mg/24 hrs, a generic version of Novartis‘ Exelon® Patch. Mylan received final approval from the U.S. Food and Drug Administration (FDA) for its Abbreviated New Drug Application (ANDA) for this product, which is indicated for the treatment of dementia associated with mild, moderate and severe Alzheimer’s disease and the treatment of mild to moderate dementia associated with Parkinson’s disease.

Mylan President Rajiv Malik said, “The launch of generic Exelon® Patch is another example of the investment Mylan is continuing to make into products that are difficult to develop and manufacture, particularly in transdermal drug-delivery systems. The launch of this product also strengthens the company’s growing central nervous system portfolio, which is a therapeutic area of continued focus for Mylan as we strive to provide better health for a better world.”

Rivastigmine Transdermal System, 4.6 mg/24 hrs, 9.5 mg/24 hrs and 13.3 mg/24 hrs, had U.S. sales of approximately $248 million for the 12 months ending May 31, 2018, according to IQVIA.

Currently, Mylan has 196 ANDAs pending FDA approval representing approximately $88.2 billion in annual brand sales, according to IQVIA. Forty-five of these pending ANDAs are potential first-to-file opportunities, representing $45.5 billion in annual brand sales, for the 12 months ending December 31, 2017, according to IQVIA.

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Inogen target hiked by Piper

Inogen price target raised to $235 from $190 at Piper Jaffray. Piper Jaffray analyst JP McKim raised his price target for Inogen to $235 and says investors should own the stock into the company’s Q2 results. Inogen every 18 months does a price elasticity of demand check by offering certain discounts in certain states to see what the volume of demand is like at a lower price, McKim tells investors in a research note. The analyst’s channel checks indicate this was done during Q2 across 10 states, mainly in the DTC business. Feedback suggests there is clear demand for the product at lower prices and that there is no need for Inogen to permanently drop price at this time, McKim adds. He believes the company’s volumes can grow over 60% in Q2, and $87M in sales is his updated forecast. The analyst adds that Q2 sales north of $90M “would not be farfetched.” McKim keeps an Overweight rating on Inogen.

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CTI Phase 3 missed endpoint

CTI BioPharma and Servier announced that the pivotal Phase III trial evaluating PIXUVRI combined with rituximab in comparison to gemcitabine combined with rituximab in patients with aggressive B-cell non-Hodgkin lymphoma did not meet its primary endpoint of an improvement in progression-free survival. “We are disappointed with the outcome of the PIX306 trial and will proceed to conduct a thorough review of clinical data to assess the next steps for the PIXUVRI program,” commented Adam Craig, MD, PhD, CEO of CTI BioPharma. “We would like to express our appreciation to the patients, families and investigators who participated in the study.” Results from the study will be submitted to a peer-reviewed journal for publication

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Dova cut to neutral by Leerink

Dova Pharmaceuticals downgraded to Market Perform from Outperform at Leerink 0

https://bit.ly/2NBihBC

Molina picked for PR Medicaid contract

Molina Healthcare announced that its wholly owned subsidiary, Molina Healthcare of Puerto Rico, has been selected by the Puerto Rico Health Insurance Administration to be one of the organizations to administer the Commonwealth’s new Medicaid Managed Care contract. Under the current contract, Molina serves approximately 316,000 members in the East and Southwest regions of Puerto Rico. Services under the new contract, currently expected to begin on November 1 would cover the entire island. Contracts will be executed pending the assessment and agreement to the contract terms by Molina and ASES. The base contract runs for a period of three years with an optional one year extension
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Anthem upped to buy by BMO

Anthem upgraded to Outperform at BMO Capital on strong earnings view. As reported earlier, BMO Capital analyst Matt Borsch upgraded Anthem to Outperform from Market Perform and raised his price target to $290 from $275, saying he expects the company to post strong earnings growth over the next 4-5 years and execute under the new CEO Gail Boudreaux. The analyst cites his recent meetings with the company which boosted his confidence in Anthem driving higher earnings from the realization of annual savings in pharmacy costs, its partnerships and new fee-based arrangements with other health plans, as well as a deeper penetration of its “massive” employer customer base through “aggressive cross-selling of specialty product”. Borsch also expects the company to capture a “substantial share of the five-year pipeline of $80 billion in expected new Medicaid revenue”.

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Walgreen cut to neutral by Citi

Walgreens Boots Alliance downgraded to Neutral from Buy at Citi. Citi analyst Ralph Giacobbe downgraded Walgreens Boots Alliance (WBA) to Neutral after assuming coverage of the name. The analyst lowered his price target for the shares to $69 from $76. The analyst finds it difficult to argue for “meaningful multiple expansion” given headwinds from industry pressures and a dynamic and changing backdrop. Further, Amazon’s (AMZN) recent acquisition of PillPack reignites “further competitive fears,” Giacobbe tells investors in a research note.

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