A Biosimilar Cure for Sky-High Cancer Drug Prices
On Thursday, the U.S. Food and Drug Administration approved Amgen Inc. (NASDAQ: AMGN) and Allergan PLC's (NYSE: AGN) Mvasi, the first biosimilar to a cancer drug to win the regulatory green light. The FDA's decision will create competition for Roche Holdings' (NASDAQOTH: RHHBY) multibillion-dollar cancer drug Avastin, and perhaps help get cancer-drug prices back under control.
According to recent research published in JAMA Internal Medicine, it costs $757 million to develop a new cancer drug, and those sky-high development costs are a big reason why complex biologics like Avastin are incredibly expensive. A 16-milliliter vial of Avastin can cost $2,854, according to the U.S. government's Federal Supply Schedule.
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Source: Fool.com