Gilead prices COVID-19 drug candidate remdesivir at $2,340 per patient

Tuesday, 30 Jun, 2020

A five-day treatment course using six vials of remdesivir is expected to cost a patient $2,340, which is well below the $12,000 hospital savings stemming from an earlier hospital discharge in the US, according to Gilead.

The company reportedly plans charge the USA government $390 a dose, which will cost patients on Medicare at least $2,300 for the shortest coronavirus treatment cycle. However, if low-priced steroid dexamethasone-which made a big splash recently with preliminary data-does deliver peer-reviewed data showing it can save the lives of seriously ill patients, remdesivir's price should drop to the range of $2,520 to $2,800, according to ICER.

Given the potential to save lives, Gilead said its price is "well below" the drug's value.

Highlighted that "Gilead has made a decision to price below value to ensure access and global need and remove the country-by-country negotiation".

Gilead Sciences introduced the selling price Monday for remdesivir, and explained the selling price would be $three, 120 for individuals with personal insurance policies.

The pharma giant said this price, which amounts to US$390 per vial, will be offered to all governments in developed countries around the world where remdesivir is approved or authorised for use.

"We wanted to make sure that nothing gets in the way of remdesivir getting to patients", Gilead CEO Daniel O'Day said. The report stated that the US government confirmed on Monday, June 23, that it will supply 500,000 additional courses to hospitals through September, which will be produced by Gilead beginning in July. "Remdesivir, our investigational treatment, is the first antiviral to have demonstrated patient improvement in clinical trials for COVID-19 and there is no playbook for how to price a new medicine in a pandemic".

Researchers have found that remdesivir can speed up recovery in patients infected with COVID-19.

The prices are roughly in line with those an influential USA drug cost watchdog pegged on the drug in its latest cost-effectiveness analysis, but came below the sticker Wall Street was expecting. "This is before we factor in the direct benefit to those patients who may have a shorter stay in the hospital". If remdesivir doesn't show it can save patients' lives in the real world, its cost-effective price would fall sharply to just $310 per course, ICER figured.

Rates outperform and is revisiting remdesivir sales forecasts and Gilead's valuation.

Gilead says it will have spent $1 billion on developing and making the drug by the end of this year.

They said on Monday that the government has secured more than 500,000 additional courses that Gilead will produce starting in July to supply to hospitals through September.

Cipla's version is priced at less than 5,000 Indian rupees ($66.24), while Hetero Lab's version is priced at 5,400 rupees ($71.54).