Replies to post #6752 on Halozyme Therapeutics Inc (HALO)

[biotechinvestor1]

Again, she never said ALL products will have a step down. As I said, it is clear that Janssen and Roche, the two biggest royalty generators for Halozyme applied for and RECEIVED co-formulation patents for their products in the US and will likely do so elsewhere. Others will do the same as indicated by the seeking alpha biotech analyst. The nay-sayers’ argument was that it is not in the interest of the pharma to get co-formulation because they would have to continue to pay royalties to Halo at full price. However, this hypothesis has been nullified for good. It’s just common sense that the benefits of a coformulation significantly outweighs the difference between a 4% and 2% in royalties to halo. Anyone who thinks pharma would not give up additional years of exclusivity for a 2% cost difference knows little about this industry.

Also, don’t think that pharma would switch to a generic ph20 after 2024 or 2027. They would gladly accept the 2% difference to avoid running trials all over again with the generic ph20.