Biotech Values

[DewDiligence]

>MNTA – Regarding Sanofi's potential "authorized" generic, is the belief that they likely won't introduce one due to the fact that any introduction by them essentially cannibalizes sales of Lovenox? I.e., why would someone use Lovenox if the same company that makes it has its own generic? Rather, by not issuing their own "authorized" generic perhaps they hope there will be those who question if the generics truly are equal to Lovenox. Is that the rationale?<

That’s essentially right, although one of the tricks of the trade is to license a separate company to distribute the authorized generic in the hope that some prescribers and hospital formularies won’t figure out that it’s the same product as the branded drug.

zipjet goes into more detail on the oligopoly economics in #msg-33857504.