Amgen is likely exiting Epo manufacture because its patents expire in 2014. When that happens, Roche will begin selling its monthly epo drug, Mircera, in the US. This means from that time Affy's competition will be with Mircera and with the short acting generic replacements for Amgen's epo.
Any thoughts on how this will play out for Affy over the coming 2+ years?
Their entire business is built on charging too much for their products. They are not going to suddenly transform one of the most profitable businesses the world has ever seen into a commodity business out of spite.
Actually, ceo for affy said they'll make sure omontys is more cost effective than epo in US. Also it is cheaper to manufacture which gives bigger margins and more room to manoeuvre.
It's looking good.
Anybody know anything about approval application in Europe?
What else do you know. How about the closing of the EPO mfg
plant in Colorado? Do you think there will be shortages of EPO like other drugs in the USA soon. Healthcare facilities are in
crisis mode for many drugs and if there is an EPO shortage in the next 6 months, you know there will be more interest in Omontys.
EPO production will be ramped up to cover the need until the EU formulation reaches the market. I am sure generics may be soon to follow, but its only a repro of EPO so requires the same dosing regime. Its the contracts with suppliers that will allow for new negotiations and should be to our advantage with AFFY.