Amgen is cutting up to 2,900 jobs, and the ax-wielding will fall heavily on manufacturing and R&D sites in Colorado and Washington, whose futures were already dim.
When California biotech Amgen picked up Onyx Pharmaceuticals a year ago for $10.4 billion to get its hands on the multiple myeloma drug Kyprolis, investors were wondering what the future would hold for the world's largest biotech. CEO Robert Bradway at least partially answered that question Tuesday saying the company would ax 15% of its workforce.
Bracing for an expensive round of late-stage studies and potential drug launches as it ramps up work on a slate of new biosimilars, Amgen reported Tuesday evening that it plans to trim up to 15% of the company's workforce, shutting down facilities in Colorado and Washington state as it slashes up to 2,900 staffers.
The FDA accepted Novartis' application to sell a knockoff of Amgen's biological treatment Neupogen, making the company a pioneer among those looking to capitalize on a soon-to-come U.S. market for biosimilars that is expected to explode.
Amgen's in-development treatment for patients on kidney dialysis met its primary and secondary goals in a late-stage trial, step one in the drug's three-part Phase III program.
Best-selling drugs did well for themselves in 2013, churning out more than $76 billion in sales. But big-name brands could stand the test of time and help the top 10 rake in more than $80 billion in 2020, according to a new report.
Amgen nabbed a breakthrough designation for its mid-stage blood cancer drug blinatumomab.
Amgen has scored boasting rights to a breakthrough drug designation from the FDA for its promising mid-stage leukemia drug blinatumomab.
Many cancer doctors have cut back on their use of Amgen's anemia drug Epogen--also sold as Procrit by Johnson & Johnson--because of safety questions that arose over the past few years. But as The Wall Street Journal reports, one Florida doctors' group still administers the drug in quantity, accounting for one-sixth of related Medicare charges in 2012.
Amgen is hardly gun shy about high-risk, high-reward R&D bets, but the Big Biotech's swing-for-the-fences approach to research is bad for the bottom line, according to Bernstein analyst Geoffrey Porges.