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Thursday, November 14, 2019

FDA extends action date on Agile’s Twirla; shares down 39% after hours

Agile Therapeutics (NASDAQ:AGRX) slumps 39% after hours on the news that the FDA has extended its action date for its decision on the company’s marketing application for contraceptive patch Twirla (levonorgestrel/ethinyl estradiol) transdermal system.
The new PDUFA date is February 16, 2020 (from this Saturday, November 16).
On October 30, an FDA advisory panel voted 14-1 in favor of approval. It’s been a long slog for the company considering it has been pursuing the FDA nod since 2012.

Highmark inks joint venture deal to provide at-home care

  • Highmark Health has signed a deal with home care company Contessa, forming a joint venture that will provide “essential elements of inpatient care” in a patient’s home.
  • Highmark, an integrated health system, said services through the joint venture called Home Recovery Care are available to commercial plan members in Western Pennsylvania. Medicare Advantage members will be eligible beginning Jan. 1. Highmark hopes to eventually expand the offering to West Virginia and Delaware.
  • The program will be able to provide home care, infusions and durable medical equipment to patients, according to a statement Highmark released Wednesday.

Health systems face continual pressure to provide care at a lower price point. At the same time, more care is moving beyond the hospital to outpatient settings and into patients’ homes, both of which tend to be less expensive than an inpatient setting.
Nashville-based Contessa, founded in 2015, engages in risk-based models, which move away from paying for each service or volume and instead pay more for value.
The company employs care coordinators that talk with doctors to determine which patients can be treated at home and are available for patients 24/7 via a telemedicine tablet. Contessa’s proprietary technology platform coordinates nursing visits and medication by tracking symptoms and vital signs.
Contessa’s protocols cover more than 150 diagnoses, and its website provides more information on the type of conditions it targets. For example one patient, instead of going to the hospital, received intravenous antibiotics to treat cellulitis in his home.
The company was co-founded by Travis Messina, who is now CEO. Prior to Contessa, Messina was the chief investment officer for a healthcare-focused venture fund, Martin Ventures. He also served as vice president of development for Vanguard Health Systems, a hospital operator spread across five states, which was acquired by Tenet in 2013.
Pittsburgh-based Highmark operates its own health system, Allegheny Health Network and insurance arm. It is a dominant player in Pennsylvania.
The deal comes as some turn to virtual care to treat less acute illnesses. The shift is in response to patient preferences as tide of consumerism in healthcare rises. More recently, the nation’s largest commercial payer said it was launching its own virtual care app for patients in employer-sponsored plans.

Aurinia Pharma EPS misses by $0.02, beats on revenue

Aurinia Pharma (NASDAQ:AUPH): Q3 GAAP EPS of -$0.21 misses by $0.02.
Revenue of $0.23M (-39.5% Y/Y) beats by $0.2M.

FDA Ad Com thumbs up on CV benefit of Amarin’s Vascepa

The FDA’s Endocrinologic and Metabolic Drugs Advisory Committee voted 16-0 backing the cardiovascular (CV) benefit of Amarin’s (NASDAQ:AMRN) Vascepa (icosapent ethyl).

Leap Therapeutics bails on #2 program

Nano cap Leap Therapeutics (LPTX -42.6%) plummets on a 10x surge volume in apparent response to its disclosure that it will “de-prioritize” further development of TRX518, its #2 candidate in Phase 2 development for solid tumors.
The company says the move will enable it to sharpen its focus on lead drug DKN-01, in Phase 2 development for gynecological cancers.
At the end of September, it had $10.1M in quick assets while operations consumed ($21.0M) during the first nine months of the year.

FDA OKs BeiGene’s zanubrutinib for mantle cell lymphoma

The FDA grants accelerated approval to BeiGene’s (BGNE -0.6%) BTK inhibitor zanubrutinib, branded as Brukinsa, for the treatment of mantle cell lymphoma, an aggressive type of non-Hodgkin lymphoma, its first approved drug in the U.S.
Zanubrutinib had Breakthrough Therapy and Orphan Drug status for the indication.

Merck’s Ervebo is the World’s First Approved Ebola Vaccine

The European Commission approved the world’s first Ebola vaccine. The vaccine is manufactured by Merck and has a trade name of Ervebo.
“The European Commission’s marketing authorization of Ervebo is the result of an unprecedented collaboration for which the entire world should be proud,” said Kenneth C. Frazier, Merck’s chairman and chief executive officer. “It is a historic milestone and a testament to the power of science, innovation and public-private partnership.”
Frazier added, “After recognizing the need and urgency for an Ebola Zaire vaccine, many came together across sectors to answer the global call for outbreak preparedness. We at Merck are honored to play a part in Ebola outbreak response efforts and we remain committed to our partners and the people we serve. We also look forward to continuing to work with the FDA and the African countries on their regulatory reviews over the coming months and with the World Health Organization on vaccine prequalification, which will help broaden access to this important vaccine for those who need it most.”
Ebola virus causes a hemorrhagic illness that begins with common symptoms of fever, headache, muscle pain and fatigue, but can move to severe internal bleeding and death. It spreads via direct contact with bodily fluids of someone who has the diseases or died from it. The average fatality rate is 50%.
Ervebo is currently being used under a “compassionate use” program in the eastern Democratic Republic of Congo (DRC), where there has been the second-largest Ebola outbreak on record. Since August 2018, more than 3,000 people in the country have tested positive for Ebola and more than 2,000 people have died of it. In the last year, more than 250,000 people have been dosed with the Merck vaccine in DRC.
Another Ebola vaccine being developed by Johnson & Johnson, is being administered to 50,000 people in Goma, a city with two million people on the Rwandan border of eastern Congo. The J&J vaccine requires two injections eight weeks apart, while the Merck vaccine only requires a single shot.
“The introduction of a second vaccine is not meant to replace [Merck’s] vaccine, but to complement it and hopefully provide us with an additional tool in the fight against future Ebola outbreaks,” said John Johnson, who is leading the project for Médicins Sans Frontières (MSF, or Doctors Without Borders), reported Physicians Weekly.
The Merck vaccine is being distributed in what is called “ring vaccination.” This strategy focuses on determining who is most likely to infect or have been infected and vaccinating the most susceptible in “rings” in order to isolate the virus and slow and prevent its transmission.
The U.S. Food and Drug Administration (FDA) is currently reviewing Merck’s application for the vaccine, with a target action date in the first quarter of 2020. Forbes notes that, “Ervebo won’t be a blockbuster money maker for Merck. Vaccines typically are far from the most profitable products for pharmaceutical companies, and the Ebola virus is far from common in higher income countries.”
As a result, the World Health Organization and other world health organizations will have to work on ways to support this and other similar vaccines.
Despite some of the economic obstacles to vaccines, they provide a significant return on investment. A 2016 Johns Hopkins University study found that for every dollar invested in vaccination in the 94 lowest-income countries in the world, $16 were expected to be saved in healthcare costs, lost wages and lost productivity. Taking into consideration healthier and longer lives and the long-term burden of disability, the net return increases to $44 per $1 invested.
At this point, Merck’s vaccine is the only one tested during an outbreak, where it has shown high effectiveness in preventing infection. It was first patented in 2003 and has been used in DRC and in 2015 during an Ebola outbreak in Guinea.
“This is a vaccine with huge potential,” said Seth Berkley, chief executive officer of Gavi, the Vaccine Alliance based in Geneva, Switzerland. “It has already been used to protect more than 250,000 people in the DRC and could well make major Ebola outbreaks a thing of the past.”