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Friday, November 15, 2019

ICER draws new gene therapy pricing framework

  • The Institute for Clinical and Economic Review on Tuesday said it will assess the value of pricey one-time and short-term curative treatments like gene therapies differently from standard drugs taken chronically because of uncertainties over both their costs and benefits over time.
  • Important adjustments include preparing both optimistic and conservative scenarios about the durability of the treatment and allocating cost savings in a way to prevent assessments that justify extremely high prices.
  • Two gene therapies have been launched in the U.S., and payers are grappling with ways to understand the long-term implications of high-priced treatments that potentially achieve a cure after a single dose.

Spark Therapeutics’ blindness treatment Luxturna (voretigene neparvovec) debuted with a $850,000 pricetag, followed by entry of Novartis’ spinal muscular atrophy infusion Zolgensma (onasemnogene abeparvovec) at $2.1 million.
In both cases, ICER, an independent group focused on measuring drug value, said the gene therapies were too expensive for the clinical benefit they delivered. (Although Zolgensma came close to meeting ICER’s thresholds using one measure of cost-effectiveness.)
However, ICER, along with many payers and policymakers, has acknowledged that gene therapies are so new it is not clear they will always represent a lifelong cure. In addition, an assessment framework based around drugs taken chronically, with ongoing costs, may not work as well for treatments that in theory will be taken only once to achieve their benefit.
Thus the organization, consulting with counterparts in other national health technology assessment organizations like the British National Institute for Health and Care Excellence, developed a separate approach to be used when evaluating “high-impact single or short-term therapies,” or SSTs.
That term means this framework will also be used with non-gene therapy approaches like chimeric antigen receptor T-cell (CAR-T) treatments such as Novartis’ Kymriah (tisagenlecleucel) and Gilead Sciences’ Yescarta (axicabtagene ciloleucel).
To account for the uncertainties about treatment durability and effectiveness, the new framework will prepare optimistic and conservative scenarios in order to get a clearer idea whether the new treatment’s price comes below the ICER threshold of $150,000 per “quality adjusted life year” — or QALY, a measure of patient benefit — gained over alternatives.
Likewise, to help payers decide whether a price is reasonable, assessments of one-time therapies will also include a discussion of how long the treatment will need to be effective in order to meet that $150,000 per QALY threshold.
When judging a new one-time or short-term treatment’s economic benefit over alternatives taken chronically, the cost savings could be enormous, which could potentially yield enormous one-time “value-based” prices. For example, an ICER technical brief suggested the savings could be used to justify a value-based price as high as $86 million for a hemophilia A treatment.
In order to account for this, the new framework will present an alternative pricing scenario that assigns only 50% of the potential future savings to the drugmaker in calculating a value based price, and allow 50% to be returned to health insurers.
ICER also will take into account patient views about the risks and benefits of alternatives. This is already relevant in treatment for SMA, where Biogen’s Spinraza (nusinersen) can also help improve patient outcomes, and Roche’s risdiplam could be on the market very soon.
In addition, future assessments will also discuss how undergoing a one-time treatment could affect patients’ ability to access future curative therapies.
“The potential advantage is related to what has previously been described as option value: the ability to benefit from future treatments that the patient would not otherwise have been able to receive,” wrote ICER in its report.
“The potential disadvantage is that some SSTs might, by their mechanism of action or triggering of immune responses, lead to a decreased chance at effective treatment by a future generation of therapies in the pipeline.”

Device Implants Need Better Labels, Advisers Tell FDA

Improved declarations of the types of metals contained in specific implant materials and devices emerged as one of an FDA advisory committee’s major recommendations.
Meeting here Wednesday and Thursday, the agency’s Immunology Devices Panel of the Medical Devices Advisory Committee met to discuss and recommend solutions for problems associated with metal-containing implants, including but not limited to dental amalgam.
The fact that all contents of devices aren’t spelled out in their labels was mentioned as problematic in expert and public testimony during the panel’s meeting. Without knowing the precise components in a given implant or device, one cannot troubleshoot the source of an adverse event, presenters said.
“The panel is happy to say that industry in general and the panel in general support declaration of the composition of all these metal devices,” Raj Rao, MD, panel chair, said in his summary comments. Also, “the panel generally feels that we need improved preclinical testing of devices that are to be placed in the body.”
The panel’s charge was to examine risks associated with an ever-increasing number of implanted devices, especially in regard to joint and hip replacements and the use of mercury-containing dental amalgams. While reactions to implanted devices are proportionally rare, the sheer number of hip, knee, cardiac, and other surgically implanted devices has been steadily increasing. Additional information on metal-containing devices, implants, dental amalgam, and metal in the body at large is needed, panel members concluded.
The best way to proceed to get this information is unclear, Rao said. Registries and longitudinal cohorts of some type may be helpful. On the flip side, the statistical rarity of these incidents also creates another opportunity where we may be able to get more information by studying isolated incidents where there have been failure, or some type of response, rather than studying the population at large.
“So there’s two approaches: either identifying the problem areas and attack[ing] them with more intensity, or studying the population at large,” he said. Retrieval studies and tissue and blood testing in patients who have had failures or immune responses may be another area of focus and study.
While metal components of the devices have been spotlighted for attention, “we’ve got to move beyond just mechanical corrosion testing to electrochemical corrosion testing as well, and possibly look into the role of biological tissues in speeding up or contributing to corrosion in some way,” said Rao, professor and chair of orthopedic surgery at George Washington University in Washington.
“The panel feels that successful outcomes of procedures where devices are implanted in the body are multifactorial in their etiology. And success depends not just on the patient but it depends on the device. It depends on the surgeon. It depends on the technique used. And it depends on a number of mechanical properties of the device, in addition to immunological or other such processes,” he said.
Because so much remains unknown about the reasons for adverse reactions to implants, the panel found it difficult to give the FDA any more clarity regarding the utility of available diagnostic and prognostic tests for pre- and post-procedural patient assessment or management of such reactions.
The validity of immune response testing either before or after surgery needs further study, Rao said. “I think the panel generally feels that a local inflammatory/immune response clearly occurs. There’s also some question that a systemic immune response may occur. But it does not appear that we have the scientific weight of evidence or a scientific process that would clearly help us better understand the mechanism.”
The committee did recommend that handling of patients’ samples for immune response testing be standardized so the results are comparable.
The panel said prospective data preoperatively, then longitudinally postoperatively, would eventually provide better information on outcomes for patients who have joint replacements and implants. Because of the length and magnitude of this process, a federal body like the National Institutes of Health would need to be involved. It’s unclear whether patient registries alone would have the depth and longitudinal information on the survival of these patients to provide these answers, the panel concluded.
Environmental triggers may predispose some patients to having a heightened response to a metal implant. “I don’t think we have data at this time as to say what those environmental triggers may be, or what the predisposition of an individual patient will be to develop a heightened response to a metal implant,” Rao summarized.
The panel generally determined that multiple device-related factors affect an individual patient’s response. The extent of wear debris generated by the alloy composition, changes in the implant’s microstructure, and how contact with other substances varies may all play a role.
Packaging should list the specific elemental compositions of each device, the panel recommended. Aron Yustein, MD, of the FDA, said the agency has already started to do that in other product areas such as breast implants.
Dental amalgam
Information reviewed at the meeting on risks of dental amalgam, said Rao, “confirms what was previously known and tends to move the needle a little further.” Mercury-containing amalgams are a risk to the environment, patients, and potentially to the dentists who insert them. But an evidence gap remains about the life cycle of mercury in the body and environment.
“I don’t think there has been any clear understanding of a quantified increase in risk,” Rao said. But, he added, “the general direction should be to move away from using mercury-containing amalgams and towards nonmercury-containing products to deal with dental restorations,” Rao summarized.
The panel generally agreed that knowledge has improved in distinguishing the role of mercury from dental amalgam versus seafood consumption and the health effects of inorganic mercury versus methylmercury, as well as the process of conversion between methylated and non-methylated form of mercury. However, current testing for mercury doesn’t clearly distinguish the different types, so there’s not enough information to determine the toxicity of one type versus the other or the relative content of one type versus the other in humans or in the environment.
The general public has largely not been told that potential risks associated with dental amalgam aren’t clear, especially for children and other vulnerable subgroups. “The other significant gap is that the risks of removal of these amalgams are not entirely known,” Rao said.
In the panel discussion of this issue, Mark Dykewicz, MD, professor of allergy and immunology at St. Louis University in Missouri, expanded on the concerns about possible additive effects of mercury neurotoxicity and other heavy metals. People, often underprivileged, are living in environments where they’re exposed to lead plus mercury, he said.
“I think it’s unconscionable that Medicaid children in some states are forced to get amalgam and may not be offered alternatives in an informed consent with their parents,” he said. “Do we wait to see that there are neurocognitive problems before we take some action?”
Dykewicz said the U.S. should follow the Canadian model and avoid amalgam fillers as much as possible.
“I’ll speak for myself and say that the evidence is there” to indicate dental amalgam isn’t fully safe, added Melissa McDiarmid, MD, professor of medicine at the University of Maryland in Baltimore.
“We’re not talking about digging amalgams out of people’s mouths, but we need to stop planting them in particularly vulnerable populations” including children, pregnant women, and breastfeeding women and people who are already exposed to other neurotoxicants because of where they live.
Stephen Badylak, DVM, PhD, MD, professor of surgery at the McGowan Institute for Regenerative Medicine, University of Pittsburgh, commented that if dentists could buy alternatives to amalgam at lower cost, “this wouldn’t even be a discussion.”
He cautioned that risk communication to the public “needs to be cross-agency with very clear instruction to professionals and patients” to start to bend away from amalgams without inciting a panic to take out amalgams.
“Maybe, just thinking aloud, the FDA announcements for fish and for mercury levels in fish could be revisited to make that a more comprehensive announcement of the overall potential effect from mercury, from fish, from dental amalgams, and from the environment at large. That could be something to look into,” noted Michael Weisman, MD, professor and chair in rheumatology at Cedars-Sinai Medical Center, West Hollywood, California.

FDA OKs Cooper contact lens that slows progression of nearsightedness in kids

The FDA approves Cooper Companies (NYSE:COO) unit CooperVision’s MiSight contact lens, the first in the U.S. indicated to slow the progression of myopia (nearsightedness) in children between the ages of 8 and 12 at the start of treatment.
The disposable lens is designed for single use, to be discarded at the end of each day.

Celgene: Euro panel nod for combo in follicular lymphoma

REVLIMID® and rituximab (R2) has the potential to become a chemotherapy-free combination treatment option for patients with follicular lymphoma who have relapsed or did not respond to previous treatment
The positive opinion was based on the results of the Phase 3 AUGMENT study, which showed the R2 regimen conferred a statistically significantly improvement in progression-free survival versus rituximab monotherapy
Celgene Corporation (NASDAQ:CELG) today announced that the European Medicines Agency’s (EMA) Committee for Medicinal Products for Human Use (CHMP) has adopted a positive opinion, recommending the approval of REVLIMID® (lenalidomide) in combination with rituximab (anti-CD20 antibody) (R²) for the treatment of adult patients with previously treated follicular lymphoma (FL) (Grade 1-3a). If approved by the European Commission (EC), R2 will be the first combination treatment regimen for patients with FL that does not include chemotherapy.
“Since its initial approval in 2007, REVLIMID has continued to demonstrate its benefits across a range of serious blood disorders in Europe and a CHMP positive opinion for this combination with rituximab is very good news for patients with follicular lymphoma. We look forward to the European Commission decision,” said Tuomo Pätsi, President of Hematology/Oncology for Celgene Worldwide Markets.

FTC on board with Bristol-Myers/Celgene tie-up on Otezla sale

The U.S. Federal Trade Commission (FTC) says Celgene’s (CELGdivestment of psoriasis med Otezla (apremilast) will settle its charges that its planned merger with Bristol-Myers Squibb (NYSE:BMY) would violate federal antitrust law.
About three months ago, the company announced that it had agreed to sell global rights to Amgen (NASDAQ:AMGN) for $13.4B in cash.

AnPac Bio-Medical Science readies IPO

AnPac Bio-Medical Science Co., Ltd. (ANPC) has filed a preliminary prospectus for a $27M IPO of American Depositary Shares (ADSs) priced $12 – 14. Each ADS represents one Class A ordinary share.
The Shanghai-based biotech develops blood tests for the detection and screening of cancer based on its cancer differentiation analysis (CDA) technology and device.
2019 Financials (9 mo.): Revenues: $1.1M (+29%); Net Loss: ($8.2M) (-78%); Loss/share: ($0.94) (-77%); Cash Consumption: ($4.6M) (-44%).

FDA OKs Novartis’ crizanlizumab for sickle cell disease

Under Priority Review status, the FDA approves Novartis’ (NVS +0.7%) Adakveo (crizanlizumab-tmca) for reducing the frequency of vaso-occlusive crisis in patients at least 16 years old with sickle cell disease (SCD).
Vaso-occlusive crisis is a painful complication of SCD that arises when microcirculation in obstructed by sickled red blood cells. It is the most common reason for emergency room visits and hospital admissions in these patients.
Crizanlizumab is a humanized monoclonal antibody that binds to a protein on the surface of platelets and endothelium in blood vessels called P-selectin which plays a key role in the vaso-occlusive process.