Amarin Corp Plc (AMRN)

[Pharmacydude]

Mrmainstreet
I think KM’s approach to locking in insurance companies was the right way to go, and probably the only choice he had. If he tried to just compete openly by offering a lower price it would have been a race to the bottom, as they say. 2 years after the launch of a generic the market share that Amarin maintains is impressive. The limited supply of raw material is what made the negotiations possible. The bleeding appears to have slowed, dare I say stopped, but cash flow prevents Amarin from aggressively promoting and growing sales, especially if the generics get 55% of any sale’s generated.
If they can minimize further purchases of IPE (inventory levels are already so high they have 3-4 years worth of stock) then they will have enough cash to launch EU and wait the 1-2 years for sales to start getting significant revenue.
Bottom line: I’m impressed KM was able to get 45% of insurance contracts.