J&J Loses Appeal of U.K. Backing of Rival’s Thalidomide
J&J Loses Appeal of U.K. Backing of Rival’s Thalidomide
Daniel Acker/Bloomberg
J&J’s Velcade may be substituted for use by those who can’t tolerate thalidomide, the regulator said.
J&J’s Velcade may be substituted for use by those who can’t tolerate thalidomide, the regulator said. Photographer: Daniel Acker/Bloomberg
Johnson & Johnson (JNJ) lost its appeal of the U.K.’s health-cost agency’s decision to back the use of a cheaper rival to the U.S. drugmaker’s Velcade treatment for an incurable blood cancer.
Celgene Corp. (CELG)’s thalidomide, in combination with two other therapies, is recommended as an initial treatment for multiple myeloma patients who can’t receive high-dose chemotherapy and stem-cell transplants, according to final draft guidance issued today by the National Institute for Health and Clinical Excellence. J&J’s Velcade may be substituted for use by those who can’t tolerate thalidomide, the regulator said.
Thalidomide, which is taken as a pill, costs an average of 2,100 pounds ($3,400) for each treatment cycle, the London-based agency, known as NICE, said in a statement. Velcade, given intravenously, costs an average of 3,000 pounds for each cycle, NICE said. The agency advises the state-run National Health Service on which treatments represent value for money.
“Although the choice of treatment would differ for each individual, a thalidomide regimen would be considered more suitable for most patients,” Carole Longson, director of NICE’s Health Technology Evaluation Centre, said in the statement. “The two regimens were similar in terms of clinical effectiveness, but thalidomide regimens were more cost- effective.”
Celgene rose 92 cents, or 1.6 percent, to $58.75 at 10:40 a.m. in Nasdaq Stock Market composite trading.
Multiple Myeloma
Multiple myeloma is a type of cancer that develops from cells in bone marrow. Treatments only slow the disease’s progress or relieve its symptoms rather than curing it, according to NICE. About 3,600 cases a year are diagnosed in the U.K., the regulator said.
Thalidomide was linked to severe birth defects, including malformed limbs, in the 1960s and temporarily withdrawn from the market. The drug returned as a potent tumor-fighter, with a warning against use by women who are pregnant. It works by programming cancer cells to commit suicide, and by creating an environment that stalls tumor reproduction.
Velcade targets a process in cells that causes them to stop dividing and die. The drug won NICE’s recommendation in 2007 after New Brunswick, New Jersey-based J&J offered to reimburse the National Health Service for the cost if the medicine doesn’t help patients.
NICE last year recommended both Velcade and thalidomide, marketed in the U.S. as Thalomid, as treatments for multiple myeloma. Johnson & Johnson appealed the decision. A panel agreed with one point of the appeal in November, and NICE worked to remove confidential data from an economic model, which was shared with the companies.
A committee met to reconsider the earlier guidance and decided not to change it, NICE said. A final decision will probably be published next month, it said.
To contact the reporter on this story: Kristen Hallam in London at khallam@bloomberg.net
To contact the editor responsible for this story: Phil Serafino at pserafino@bloomberg.net
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