Mylan to sell generic version of allergy drug EpiPen for US$300
Mylan, an American global generic and specialty pharmaceuticals company, announced that they will release a generic version of the life-saving allergy drug EpiPen for US$300, which is about 50% of the current price of the drug.
The company recently came under fire for raising the price of EpiPen – which is used to treat severe allergic reactions like those that can occur from bee stings and foods like nuts – by more than 400%. Mylan received criticisms after they increased the price of EpiPen in August to US$600 from its price of US$100 since 2008.
Mylan became the target of a Department of Justice and Congressional investigation.
Mylan CEO Heather Bresch said that the company produced the cheaper generic version out of concern for rising drug prices and the ability of families across the country to afford them. The cheaper version of the treatment is expected to be in stores this week.
“While it is important to understand the outdated and complex system that determines what someone pays for medicine in the U.S., hardworking families don’t need an explanation, they need a solution,” she said in a statement. “This is why we took decisive action with our EpiPen product and have launched the first generic version at half the WAC price.”
Bresch was called before Congress over the dramatic price increase. Mylan announced in late August that it would produce a US$300 version.
Mylan didn’t invent nor does it produce the EpiPen. The company bought the rights to the EpiPen in 2007, which received approval in 1987 and has dominated 90 percent of the market.
Today, Mylan buys the Epipen from a Pfizer subsidiary for US$34.50 per pen and enjoys a near-monopoly since its chief competitor faced a recall last year.
In October, the company paid the Department of Justice US$465 million to settle the question whether they manipulated the classification of EpiPens to pay lower rebates to Medicaid and Medicare.
Mylan’s announcement arrived one day after 20 states filed a joint lawsuit over the prices set by generic drug makers. The state governments have focused their attention on Mylan and five other generic drug-producing companies.
Category: Features, Pharmaceuticals
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