The government of Japan is changing the lucrative brand-name healthcare market as its population ages and requires more drugs with a push to make at least 80% of the government's drug spending be for generics.
Teva Pharmaceutical has its hands full already with its $40.5 billion deal to buy Actavis, the generics business of what is now Allergan. But business goes on and that includes the occasional recall.
Top Japanese drugmakers are moving to sell off their noncore businesses and less profitable generic drugs to focus on new drugs that are protected by patents and that bring in millions more in revenue.
SAN FRANCISCO-- Sometimes, it can tough to be filter out what a company means from the little it says at the J.P. Morgan Healthcare Conference. So please, allow us to do the summarizing--and check back throughout the week for updates.
SAN FRANCISCO-- After watching months of pharma's M&A wave from the sidelines, Teva finally made a splash this summer with an agreement to pick up Allergan's generics business. And it may not be finished in the dealmaking arena.
There are big questions facing some of pharma's key players this year, like whether the Pfizer and Allergan deal will get done and why Allergan thinks that is its best route. Or what Mylan intends to do since it spurned a buyout from Teva but failed to close on Perrigo. At least some of those can be expected to be answered next week when nearly all of pharma, large and small, convene in San Francisco for the JP Morgan Healthcare Conference.
Generic powerhouse Teva Pharmaceutical Industries and Takeda said last year that they were working a deal to sell generics in Japan, a piece of the market expected to grow significantly as the government pushes off-patent drugs. Now the two have released details about how they will do that.
After fighting a long battle over the IP shield on lead drug Copaxone, Teva is feeling the heat from generics makers over the patent on its new, long-acting version of the drug. Monday, though, it got some good news in Europe that'll keep knockoffs makers at bay--for now.
Back in July, Teva agreed to pick up Allergan's generics business for $40.5 billion. To get that deal past regulators, though, it's going to have to divest some products--and word is it could be a lot of them.
Japan's Takeda Pharmaceutical and Israel's Teva Pharmaceutical Industries have decided to form a joint venture to take advantage of the Japanese government's generic push to cut government healthcare costs.