USA — Drug manufacturers Organon and Samsung Bioepis have announced the launch of a lower-cost biosimilar version of AbbVie’s blockbuster arthritis drug, Humira.
In addition, two other drug manufacturers have entered the market with their own versions of the drug, offering smaller discounts compared to the original branded medicine.
Organon and Samsung Bioepis’ copycat drug, named Hadlima, will be priced at US$1,038 per month, reflecting a substantial 85 percent reduction from Humira’s current monthly cost of US$6,922.
Swiss pharmaceutical company Sandoz has also unveiled its own biosimilar version of Humira, called Hyrimoz, with a 5 percent price reduction compared to the original medication.
Furthermore, Sandoz has introduced an unbranded version of Humira at a remarkable 81 percent discount.
Boehringer Ingelheim, a Germany-based drug manufacturer, has followed suit by releasing its own alternative to Humira, Cyltezo, offering a modest 5 to 7 percent price reduction from the list price of the branded medicine.
Unlike generic versions of conventional pills, which can be produced inexpensively, the replication of complex biologic drugs, derived from living cells, is a more challenging task. The closest alternatives to these biologics are known as biosimilars.
While Organon and Samsung Bioepis have not disclosed whether they have reached agreements with pharmacy benefit managers (PBMs) to secure reimbursement for Hadlima, their actions suggest a strategic move to gain coverage for their biosimilar drug.
Notably, three major PBMs—CVS Health Corp, Cigna Group’s Express Scripts, and UnitedHealth Group’s Optum RX—command 80 percent of the U.S. prescription drug market.
Healthcare experts have anticipated that certain Humira biosimilars would enter the market at a slight discount to attract the attention of PBMs.
As PBMs often receive a percentage of the negotiated savings, significant discounts are expected to be obtained from the announced prices for health plans.
In an interview with Reuters, Organon’s CEO, Kevin Ali, stated that drugmakers who have not secured PBM deals for their Humira biosimilars this year will compete over the next six months for insurance coverage in 2024. He emphasized the importance of being included in PBM formularies.
Hadlima received approval from the U.S. Food and Drug Administration in 2019, but due to the terms of a legal settlement with AbbVie, the companies were initially restricted from launching it in the U.S.
Amgen, based in Thousand Oaks, California, became the first company to introduce a Humira biosimilar in the U.S. in January, offering discounts of 5 percent and 55 percent to different buyers.
Additionally, California-based drugmaker Coherus BioSciences recently announced plans to release its biosimilar in partnership with billionaire Mark Cuban, providing an impressive 85 percent discount.
In response, AbbVie filed a lawsuit against Coherus BioSciences, accusing them of breaching the agreement that granted a nonexclusive license to commercialize a biosimilar version of Humira in the U.S. starting from July 1.
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