Halozyme Therapeutics Inc (HALO)

[biotechinvestor1]

So it sounds like Morgan Stanley does not believe that CMS draft (even if it becomes final) will have much of an impact on halo’s earnings (see my earlier post re what MS  is saying regarding Opdivo, Darzelex & Keytruda and Helen’s comments that once there is loss of exclusivity, there is no CMS negotiations). So the only concern remaining would be the effect on future deals. For this I will remind you that Halozyme has about 10 approved Enhanze+partner theraputics on the market. Not a single one of these partners signed a deal with halozyme for any one of these 10 products to avoid CMS price negotiations. How do we know this? It’s simple. CMS price negotiation were introduced as part of the 2022 Inflation Reduction Act (IRA). All these partners signed up with Halozyme and entered clinical trials many years and in some cases, a decade before IRA and price negotiations were even a thing. They signed for competitive advantage. This reason remain intact.