Earnings remained in focus this week with companies like AstraZeneca (AZN – Free Report) reporting third quarter results. Meanwhile, companies like Roche (RHHBY- Free Report) and Merck & Co., Inc. (MRK – Free Report) were in the news due to regulatory updates.
Recap of the Week’s Most Important Stories
Mixed Results from AstraZeneca: AstraZeneca’s third quarter results were mixed with the company missing on earnings but beating on revenues. The company has several pipeline events lined up in the coming quarters including data on cancer drugs like Lynparza and Imfinzi as well as regulatory submissions for moxetumomab pasudotox (leukemia) and selumetinib (thyroid cancer) among others.
FDA Nod for Merck CMV Drug: Merck gained FDA approval for Prevymis (letermovir) for the prevention of cytomegalovirus (“CMV”) infection and disease in adult allogeneic hematopoietic stem cell transplant (“HSCT”) patients. A common and potentially serious viral infection in allogeneic HSCT recipients, any level of CMV infection is associated with increased mortality in HSCT patients. Merck said that Prevymis is the first new CMV medicine to be approved in the United States in 15 years.
Merck intends to launch the drug in December at a list price of $195 per day for the tablets and $270 for the injection. Merck is a Zacks Rank #3 (Hold) stock.
Sanofi Signs MS Deal worth up to $805M: Sanofi (SNY – Free Report) has entered into an agreement with Principia Biopharma Inc. for the latter’s clinical-stage, blood brain barrier crossing, oral BTK inhibitor, PRN2246, which has the potential to be developed for the treatment of multiple sclerosis (“MS”) and other central nervous system (“CNS”) diseases. Sanofi is willing to shell out up to $805 million including an upfront payment of $40 million. The balance will be payable on the achievement of milestones. Principia will also earn royalties on product sales. Moreover, the company has the option to co-fund late-stage development costs in exchange for either higher royalties on global sales or a profit and loss sharing arrangement in the United States. Sanofi already has a presence in the MS market in the form of Lemtrada and Aubagio.
