The drugmaker of remdesivir, an experimental drug that appears to help some coronavirus patients recover faster, could bank upward of $2 billion for the treatment, according to a new report.
Gilead Sciences has not released pricing information for its antiviral medication, which is typically used to treat Ebola. The company announced it will donate its current supply of the drug reported to support about 140,000 coronavirus cases. The FDA greenlighted the drug's use in hospitalized patients last week.
And while the cost of the drug remains to be seen, experts predict Gilead Sciences' profit to be in the billions.
The Institute for Clinical and Economic Review, a Massachusetts-based non-profit drug price research firm, estimated the cost for remdesivir per person at $4,500. The company released its analysis on Friday.
"The fact that ICER is typically conservative in all their analysis, and yet they can justify up to $4,500, seems pretty interesting," Jefferies biotech analyst Michael Yee wrote to investors on Sunday.
ICER estimates the pricing based off a 10-day recommended treatment used in clinical trials.
“In the case of remdesivir, the initial ICER-COVID model suggests a price of approximately $4,500 per treatment course, based on the assumption of mortality benefit from the findings from the ACCT study using a 10-day treatment course,” the group said.
At the estimated price of $4,500, if half of coronavirus patients in the U.S. use remdesivir, Gilead could potentially generate $2.25 billion in revenue by the end of the year.
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