Amgen, J&J Anemia Drugs Won’t Face New U.S. Coverage Policy
Stock Chart for Amgen Inc (AMGN)
The Centers for Medicare and Medicaid Services proposed in March to maintain current standards for using Amgen’s Aranesp and Epogen and J&J’s Procrit, leaving coverage determination to regional Medicare contractors that process reimbursement claims. The agency made the proposal final today.
“Given the totality of the currently available evidence, CMS will not issue a national coverage determination at this time,” the agency said on its website.
The decision removes an “overhang” on shares of Thousand Oaks, California-based Amgen, said Michael Yee, an analyst with RBC Capital Markets, in a research note last week. Maintaining the coverage policy won’t affect revenue at the company, the world’s largest biotechnology firm, he said.
“There simply, and rationally, isn’t enough info at this time to change current treatment guidelines,” Yee, based in San Francisco, wrote in a June 9 note to clients.
J&J, the world’s second-biggest seller of health-care products after New York-based Pfizer Inc., is based in New Brunswick, New Jersey.
To contact the editor responsible for this story: Reg Gale at email@example.com.
Bloomberg reserves the right to edit or remove comments but is under no obligation to do so, or to explain individual moderation decisions.