Summary
With the 180 day exclusivity, Teva is already commanding the market of the generic Imitrex - Sumatriptan oral tablets. Teva maintains an AB rating of the generic that will render most insurance companies to push brand name Imitrex by GlaxoSmithKline to a non-formulary tier, skyrocketing the generic's sales. Already, different wholesalers are reporting a backorder on Teva's generics. Additionally, Teva's pricing point is very favorable to itself, despite Dr Reddy's prior entrance.
Analysis
By being granted the 180-day period of exclusivity, Teva is emerging as a very strong player of Sumatriptan oral tablets.
A PBM has evaluated that over the 6 month period, an estimate of 68% of refilled prescriptions will be filled with Teva's generic by their mail order pharmacies. Some have evaluated switching over to the non AB rated product made by Dr. Reddy's. Additionally, Imitrex is already being pushed to the non-formulary brand copay tier.
Currently, two large wholesalers have reported a shortage on Teva's generic. Supplies are sporadic, as "Teva is overwhemingly keeping up with the demand" states one representative.
Additionally, Teva has priced their product at a mere 4% to the brand name Imitrex. Previously, generic pharma, as per MindPharma estimates, priced their generics at 60% to 75% of the brand name acquisition cost. GlaxoSmithKline is pushing the brand price lower, so it will be an interesting battle in the next few months. Last, Dr. Reddy's product is priced at 70% of the brand name, that is encouraging retail fills of their generic.
I would see significant price degradation by the end of Teva's 6 months, as other entrants come in the market.
Aemad A. Aslam
MindPharma
