Biogen, Eisai’s lecanemab will get Alzheimer’s nod, however how profitable it is going to be is unsure

The US FDA on Friday granted accelerated approval to Biogen (NASDAQ:BIIB) and Eisai’s (OTCPK:ESALY) Leqembi (lecanemab), simply the second biologic drugs ever accepted for Alzheimer’s illness.

The remedy is anticipated to turn into out there across the week of Jan. 23. It comes with a wholesale value of $26.5K per 12 months based mostly on twice month-to-month infusions.

Although the approval is good news, it stays to be seen whether or not Leqembi can be a house run when it comes to income. In spite of everything, the 2 corporations gained approval of Aduhelm (aducanumab) in 2021 anticipating it to turn into a blockbuster, solely to be beat again by criticism of mediocre efficacy and an April 2022 CMS Nationwide Protection Dedication (NCD) to solely cowl that treatment in very uncommon circumstances.

Certainly, the NCD for Leqembi — but to be rendered — can be crucial to its success because the overwhelming majority of those that are eligible for the remedy are Medicare enrollees.

What’s extra, on the time of the Aduhelm NCD, CMS mentioned that FDA-approved monoclonal antibodies that focus on amyloid — the protein within the mind thought to contribute to Alzheimer’s — will solely be lined in a medical trial performed with regulatory authorization. To ensure that CMS to cowl Leqembi, it will want to regulate this stance.

A full approval for Leqembi might assist CMS in its determination on overlaying Leqembi. Eisai (OTCPK:ESALF) on Friday mentioned it’ll work shortly to file a supplementary Biologics License Utility with information from the part 3 Readability AD trial to take action.

One other potential concern is the labeling for Leqembi. The affected person inhabitants it’s indicated for is way narrower than for Aduhelm. For Leqembi, it “needs to be initiated” in these with delicate cognitive impairment and the delicate dementia stage of Alzheimer’s.

In fact, medical doctors are free to prescribe Leqembi to anybody with indicators of Alzheimer’s it doesn’t matter what the stage. Nevertheless, the narrower inhabitants within the prescribing data will seemingly weigh on many medical professionals.

One other concern for medical doctors contemplating prescribing Leqembi is the remedy’s security report. The labeling accommodates a warning to watch for Amyloid Associated Imaging Abnormalities (“ARIA”) — characterised by mind swelling and bleeding — through the first 14 weeks of remedy.

ARIA was seen in some sufferers throughout medical trials. As well as, in December, lecanemab was linked to a 3rd affected person loss of life in a trial.

Jason Karlawish, co-director, Penn Reminiscence Heart, Perelman Faculty of Drugs, College of Pennsylvania, mentioned that the presence of the APOE4 gene couldn’t solely predict one’s threat of mind bleeding, however how efficient Leqembi will work as nicely. Possessing the gene is taken into account a genetic threat issue for Alzheimer’s.

Karlawish famous that information from Leqembi trials indicated that these with the APOE4 gene had extra mind bleeds and hemorrhages, and the drug wasn’t as efficient on them both.

“For people making the choice whether or not to take this drug, I consider, I believe, many clinicians like myself really feel that APOE4 testing must be one of many choices to contemplate whether or not this the precise drug for me — and what are the probabilities of me benefitting in addition to struggling dangers,” he mentioned.

Wall Avenue seems bullish on Leqembi’s prospects with a number of analysts expressing confidence on Friday that it’s going to achieve a optimistic NCD.

Nevertheless, Piper Sandler’s Christoper Raymond was not amongst them. Raymond, who has a impartial ranking on Biogen (BIIB), mentioned he’s involved about Leqembi’s industrial success amid uncertainty over physician uptake and the effort of needing infusions each two weeks.