Amarin Corp Plc (AMRN)

[jessellivermore]

judge:

Quote: Pyrronian, "generics are "hot" on Vascepa's tail."

This statement alone reveals a deep lack of understanding about Vascepa and generics...

Generics' strategy is simply discounting. Cutting the price of "brand" drugs is very effective and easy in cases where the cost of the drug is much higher than the cost of producing the drug. This is frequently the case for FDA approved "branded" drugs most of which have raise their prices during the exclusion period to pay for the cost of running through the expensive FDA marketing process.

Amarin will not be a very appetizing entre for the generics simply because if Vascepa is successful, Amarin does not have to evoke high profit margins to make serious money because the volume (number of pills) will be so high.
The exclusion period will be long enough for Amarin to establish the brand and tie up the suppliers..Maintaining low profit margins will kill generics, demand for Vascepa should be high enough to tie up virtually every major supplier of EPA. Actually investing in alternative methods of producing EPA such as algae may be a better strategy than generics.

":>) JL