Biotech Values

[DewDiligence]

Good news for MRK and other DPP-4 companies:

http://www.nytimes.com/2013/07/27/business/european-regulator-finds-little-risk-in-diabetes-drugs.html

Regulators in Europe have concluded that there was little evidence that widely used drugs to treat Type 2 diabetes could cause pancreatic inflammation or pancreatic cancer, a finding that might reassure patients while also removing a potential sales threat for Merck and some other drug companies.

“Presently available data do not confirm recent concerns over an increased risk of pancreatic adverse events with these medicines,” the European Medicines Agency said in a news release on Friday.

Although there are several approved DPP-4 drugs, MRK’s Januvia/Janumet franchise has about 2/3 of the worldwide market.