Such savings could improve Biogen's bottom line, which shrunk over the last couple years as competition eroded sales of the company's top products. BIOGEN said on Tuesday (May 3) that chief executive Michel Vounatsos will step down and that the company is pulling back on selling its controversial Alzheimer's drug Aduhelm, in what appears to be a final blow to its prospect of becoming a big seller. Biogen spent $635 million on selling, general and administrative expenses in the first quarter, up 7% from the same period in 2021. Biogen is searching for a new CEO along with additional ways to cut costs after another quarter of paltry sales for its closely watched Alzheimer's disease drug. Subscribe to the BioPharma Dive free daily newsletter, Subscribe to BioPharma Dive for top news, trends & analysis, The free newsletter covering the top industry headlines, Ermath, Michael. Despite its setback with Aduhelm, Biogen says it will continue development of another anti-amyloid drug for treating Alzheimer disease, lecanemab, which it is partnered with Eisai, who was also Biogens partner for Aduhelm. The company believes the much smaller support for Aduhelm, as well as other cost reductions, will also yield another $500 million in annualized savings. manufacturing value chain. Biogen CEO Michel Vounatsos will step down as the company continues to cut about $1 billion in costs annually, Biogen said Tuesday, after Medicare limited coverage for its Alzheimer's. Vounatsos, who was named as the CEO in 2016, will continue in his role until a successor is appointed, the . Keep up with the story. While the company could have used the infrastructure it built around Aduhelm to help commercialize lecanemab, Vounatsos explained that maintaining such a large team until the late-stage study readout didn't make sense. The announcement comes on the heels of Biogens recent withdrawal of its application for Aduhelm with European regulators. Sie knnen Ihre Einstellungen jederzeit ndern. Biogen ended the first quarter with $2.07 billion in net product revenue, down almost 7% from the same period a year prior. Vounatsos has served as CEO since 2017. Biogen Inc said on Tuesday that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its Alzheimer's drug Aduhelm after the U.S. government's Medicare program restricted coverage of the controversial treatment to patients in clinical trials. Aduhelm was meant to offset these losses, but Biogen underestimated how difficult it would be convincing doctors and payers to use a drug that many considered to be too expensive and backed by conflicting evidence. the global Bio/Pharmaceutical Over the five years with Vounatsos at the helm, Biogen attempted to expand beyond its core business of multiple sclerosis drugs. Biogen CEO Michel Vounatsos will resign as the company begins to substantially reduce its infrastructure for producing Aduhelm. DCAT Value Chain Insights is produced by the Drug, Chemical & Michel Vounatsos to Step Down as Chief Executive Officer of Biogen. The drug company will effectively give up on marketing Aduhelm, which comes with unproven benefits and serious. The company reported a 26% fall in. These cookies do not store any personal information. Necessary cookies are absolutely essential for the website to function properly. If lecanemab were to succeed, and go on to secure approval, Biogen would again have to address the challenge of selling another Alzheimer's drug with a checkered history. For the first quarter of 2022, Biogen took $275 million in charges from Aduhelm inventory write-offs as well as approximately $45 million in idle-capacity charges. (Reuters) -Biogen Inc said on Tuesday that chief executive Michel Vounatsos will step down and that the company is pulling back on selling its . Sign up for free newsletters and get more CNBC delivered to your inbox. Biogen's C.E.O. By checking this box, you confirm that you have read and are agreeing to our terms of use regarding the storage of the data submitted through this form. Once considered a blockbuster-in-waiting, Aduhelm, as the drug is known, has faced strong pushback from insurers and some doctors since its approval last June. Revenue from both Spinraza and its top-selling multiple sclerosis drug have been in decline as newer, rival treatments entered the market. -2.54%. No executives are paid more at Biogen Vounatsos, who has been at the helm since 2016, will stay until a new executive is hired. The company did not include a reason for Capello's departure. 3 May 2022, 12:34 pm. document.getElementById( "ak_js_2" ).setAttribute( "value", ( new Date() ).getTime() ); Editorially independent, supported by our community. Frustrated by the lack of an editorially independent source of information on brain health and Alzheimers disease, we decided to create Being Patient. of its application for Aduhelm with European regulators. Biogen previously announced a cost-cutting plan that included layoffs and was designed to save approximately half a billion dollars in annualized savings. (Reuters) - Biogen Inc said on Tuesday that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its Alzheimer's drug Aduhelm after the U.S. government's Medicare program restricted coverage of the controversial treatment to patients in clinical trials. It doesnt sound like Biogen is expecting any big turnaround: The company plans to [retain] minimal resources to manage patient access programs, including a continued free drug program for patients currently on [Aduhelm] treatment in the U.S., report stated. Biogen said Chief Executive George Scangos is stepping down, news that came as the biopharmaceutical company provided an upbeat earnings outlook and unveiled a $5 billion share buyback. Vounatsos has served as CEO since 2017. Associated Technologies Association, a not-for-profit business Biogen CEO Scangos Stepping Down July 21, 2016 Share George A. Scangos, Ph.D., will step down as CEO of Biogen "in the coming months" once a successor is identified, the company. "These challenges are all part of the biopharmaceutical business lifecycle." It is involved in rolling submissions under the U.S. accelerated approval pathway before submitting for full approval in 2023. Biogen Inc said on Tuesday that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its Alzheimer's drug Aduhelm after the U.S. government's . Biogen Inc said on Tuesday that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its controversial Alzheimer's drug Aduhelm, in what appears to be a . Vounatsos, who has been at the helm since 2016, will stay until a new executive is hired. Analysts expect the drug will continue to struggle, particularly in light of a recent decision from the government agency that runs Medicare, which insures the largest proportion of Alzheimer's patients in the U.S. To Marc Goodman, an analyst at the investment firm RBC Capital Markets, Tuesday's announcements represent a "pivot point" for Biogen. Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. CNBC's Meg Tirrell on Biogen CEO Michel Vounatsos leaving the company. It is involved in rolling submissions under the U.S. accelerated approval pathway before submitting for full approval in 2023. Biogen expects the Phase II readout for BIIB104, its other key drug candidate, in mid-2022. We are glad you have chosen to leave a comment. (Reuters) -Biogen Inc said on Tuesday that chief executive Michel Vounatsos will step down and that the company is pulling back on selling its controversial Alzheimer's drug Aduhelm, in what appears to be a final blow to its prospect of becoming a big seller. Get this delivered to your inbox, and more info about our products and services. The future of Aduhelm has been in doubt since the . Biogen said on Tuesday (May 3) that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its Alzheimer's drug . today that CEO Michel Vounatsos will be stepping down from the company. Recommendations by FDA advisory committees are non-binding, but are usually in line with final FDA decisions, although not in this particular case. "We recognize that Biogen is facing a number of near-term challenges," said CEO Michel Vounatsos on a Tuesday morning call with investors. With CNBC's Melissa Lee and the Fast Money traders, Guy Adami, Tim Seymour, Karen Fine. These cookies will be stored in your browser only with your consent. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); By Simon Spichak, MSc | Topics covered: Pharma, biotech, FDA, gene therapy, clinical trials, drug pricing and much more. Daten ber Ihr Gert und Ihre Internetverbindung, wie Ihre IP-Adresse, Browsing- und Suchaktivitten bei der Nutzung von Yahoo Websites und -Apps. Biogen says that lecanemab and two other drugs in its neuroscience pipeline are part of its R&D prioritization for 2022: zuranolone for treating major depressive disorder (MDD) and post-partum depression (PPD) and BIIB104, a drug in Phase II development for treating cognitive impairment associated with schizophrenia. Klicken Sie auf Einstellungen verwalten, um weitere Informationen zu erhalten und Ihre Einstellungen zu verwalten. Biogen is searching for a new CEO along with additional ways to cut costs after another quarter of paltry sales for its closely watched Alzheimer's disease drug. (Reuters) - Biogen Inc said on Tuesday its Chief Executive Officer Michel Vounatsos will step down and the company has started a search for a successor. ESALY. "Are they meaningful buyers? To learn more, please visit www.dcat.org. The company was betting on Aduhelm, the first new treatment for the memory-robbing disease in nearly 20 years, to act as a buffer as its main established revenue drivers face rising competition. will step down after disastrous launch of Alzheimer's drug. May 3 (Reuters) - Biogen Inc said on Tuesday that chief executive Michel Vounatsos will step down and that the company is pulling back on selling its controversial Alzheimer's drug Aduhelm, in what appears to be a final blow to its prospect of becoming a big seller. You also have the option to opt-out of these cookies. Artificial Intelligence in Digital Pathology Diagnostics: What Do Physicians Know and Expect? Biogen is searching for a new CEO along with additional ways to cut costs after another quarter of paltry sales for its closely watched Alzheimer's disease drug. (Reporting [] In its Q1 2022 earnings call in early May, Vounatsos said he would be stepping down as CEO once his replacement has been found. (Reuters) - Biogen Inc said on Tuesday that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its Alzheimer's drug Aduhelm after the U.S.. Biogen Inc (NASDAQ:BIIB) stepped into the earnings confessional today to post first-quarter earnings of $3.62 per share -- lower than the $4.38 per share . In an earnings report, Biogen said a new CEO has yet to be appointed. Durch Klicken auf Alle akzeptieren erklren Sie sich damit einverstanden, dass Yahoo und seine Partner Ihre personenbezogenen Daten verarbeiten und Technologien wie Cookies nutzen, um personalisierte Anzeigen und Inhalte zu zeigen, zur Messung von Anzeigen und Inhalten, um mehr ber die Zielgruppe zu erfahren sowie fr die Entwicklung von Produkten. (Reuters) - Biogen Inc's Chief Executive Officer Michel Vounatsos is stepping down, at a time the drugmaker is grappling with insurance coverage issues related to its Alzheimer's drug Aduhelm. he wrote to clients. Following US approval under the accelerated approval pathway in June 2021, the drug posted full-year 2021 sales of $3 million and had sales of $2.8 million in the first quarter of 2022. Jobs report shows labor market remains tight, says Richmond Fed President Tom Barkin, Jim Cramer reacts to October's strong jobs report: Investors can look for opportunities, Starbucks CFO Rachel Ruggeri on earnings: We are focused on the customer experience, Stock futures edge higher Friday following strong jobs report, U.S. hiring remains strong as economy adds 261,000 jobs in October. Dive Brief: Jeffrey Capello, CFO at Biogen since 2017, will step down in August, the company announced on Tuesday. -Jaimy Lee Biogen Inc. is shedding Chief Executive Michel Vounatsos and effectively abandoning its high-profile Alzheimer's disease treatment Aduhelm as it attempts to chart . Please help support our mission. Aduhelm had been projected as a key revenue contributor for the company and with its lower-than-expected results thus far and diminished commercial prospects, Michel Vounatsos, who had served as the companys CEO since 2017, is stepping down. Biogen is also scaling down their commercial infrastructure for producing their controversial anti-amyloid Alzheimers treatment Aduhelm (aducanumab) substantially, in response to insurance coverage restrictions by the U.S. Centers for Medicare and Medicaid Services, per its recent, While Biogen hoped the drugs landmark approval by the Food and Drug Administration would lead to more sales, the drug was mired in, The announcement comes on the heels of Biogens. Michel Vounatsos plans to step down from the top job once a successor is appointed, Biogen said in a statement on Tuesday. But Biogen now plans to "substantially" eliminate the commercial infrastructure around Aduhelm as part of a larger push to save money. We are a team of dedicated journalists covering the latest research on Alzheimers, bringing you access to the experts and elevating the patient perspective on what its like to live with dementia. Its investments in gene therapy have also not panned out, while a number of closely watched experimental drugs in its neurology-focused pipeline have failed in clinical testing. The company is "effectively throwing in the towel on Aduhelm," he wrote in a note to clients, while its strategy moving forward is "somewhat vague" and contingent on clinical trial readouts and, likely, incoming management. Dies geschieht in Ihren Datenschutzeinstellungen. Sign up now for our free weekly email with in-depth reporting on topics important to patients and caregivers of Alzheimer's & other dementias. development association for companies engaged in the global bio/pharmaceutical manufacturing value chain. Subsequently, sales were much lower than projected, in no small part due to a refusal on the part of some healthcare providers to prescribe it, and on the part of some insurers to cover it. Got a confidential news tip? He was named as the CEO of Biogen in 2017, replacing George A. Scangos who led the company since 2010. After more than five years at the helm of embattled Biogen Inc., Michel Vounatsos is stepping down as CEO, the company announced Tuesday morning, and plans to implement "additional cost-reduction . Congress passed major drug pricing legislation in 2022, putting pharmaceutical companies on the defensive and creating a new precedent for the industry. The essential resource for Biogen Inc. announced that Chief Executive Officer Michel Vounatsos will step down and that the company is pulling back on selling its controversial Alzheimer's drug Aduhelm, in what appears to be a final blow to its prospect of becoming a big seller. STORY: Biogen said on Tuesday that its CEO Michel Vounatsos will step down and that the company is pulling back from selling its Alzheimer's drug Aduhelm after the U.S. government's Medicare program restricted coverage of the controversial treatment to patients in clinical trials. #Biogen #MichelVounatsos #A. 3, 2022, 11:11 AM InvestorPlace - Stock Market News, Stock Advice & Trading Tips Drug manufacturer Biogen (NASDAQ: BIIB) is seeing some attention this morning after announcing its Chief. Retrieved from, COUR Pharmaceuticals Announces FDA Clearance of Investigational New Drug Application for Myast, First-of-its-kind Whole Lung Simulator is Helping Michigan Researchers Predict New Treatments , From Society for Industrial and Applied Mathematics, TABMELT Granted Patent Allowance in Israel, Expanding Viveras Global Licensing Reach, Vivera Welcomes Saurabh Radhakrishnan to its Advisory Board, By signing up to receive our newsletter, you agree to our, Medicare finalizes policy limiting coverage of Biogen Alzheimers drug, Biogen, struggling to sell Alzheimers drug, begins layoffs to save money, We have to find a way: FDA seeks solutions to aid bespoke gene therapy, Early data hint at benefit for Amgens obesity drug, Pharma earnings outline drug laws looming impact on sales, development, Ipsen drug shows benefit in pancreatic cancer, lifting shares of ghost company, Centerview grows role as go-to adviser for biopharma dealmaking, Supercharge Delivery of New Cancer Therapies, A New Standard of Care: The Benefits of Continuous Temperature Monitoring and Early Fever Detection, The latest developments on the gene therapy frontier, Patent wars: Modernas battle for the spoils of Covid vaccines. Yet, Biogen has hit significant setbacks. In April, Medicare finalized a restrictive policy that severely limits coverage of Aduhelm and other Alzheimer's therapies that work in a similar way. "In total, 395 CEOs left their positions during the first quarter of 2022marking the highest quarterly total since Q1 2020, which had 441 recorded CEO exits." In this article, you'll find every notable CEO stepping down since 2020. In its latest earnings report, Biogen recorded $2.8 million from Aduhelm over the first three months of this year, accounting for less than 1% of its overall revenue. Earlier this month (April 2022), Biogen withdrew its marketing authorization application (MAA) from the European Medicines Agency for Aduhelm following discussions with the EMA, which had indicated that data provided thus far would not be sufficient to support a positive opinion for marketing authorization. He will be replaced by Michael McDonnell, CFO of contract research organization IQVIA. REUTERS/Dado Ruvic/Illustration/File Photo. Although the company is reducing commercial support for Aduhelm, it will continue funding certain regulatory and R&D activities for the drug, including the continuation of a redosing study and the initiation of a Phase IV post-marketing requirement study. Fr nhere Informationen zur Nutzung Ihrer Daten lesen Sie bitte unsere Datenschutzerklrung und Cookie-Richtlinie. Biogen CEO Michel Vounatsos to step down as the drugmaker announces plans to pull back on selling the Alzheimer's drug Aduhelm. Vounatsos, who has been at the helm since 2016, will stay until a new executive is hired. STORY: Biogen said on Tuesday that its CEO Michel Vounatsos will step down and that the company is pulling back from selling its Alzheimer's drug Aduhelm after the U.S . Its arguably greatest victory was the development and approval of the rare disease medicine Spinraza, which quickly became a billion-dollar product. Following lower-than-expected results and diminished prospects for its Alzheimers drug, Aduhelm (aducanumab), once touted as a potential blockbuster, Biogen announced that its CEO is stepping down, and the company is implementing a $500-million cost-reduction program, which involves substantially eliminating the commercial infrastructure for the drug. By Mrinalika Roy and Leroy Leo (Reuters) -Biogen Inc said on Tuesday that chief executive Michel Vounatsos will step down and that the company is pulling back on selling its controversial. "Individualized Therapies Workshop" [Photograph]. He will continue to serve as CEO and on the companys Board of Directors until his successor is appointed. Following lower-than-expected results and diminished prospects for its Alzheimer's drug, Aduhelm (aducanumab), once touted as a potential blockbuster, Biogen announced that its CEO is stepping down, and the company is implementing a $500-million cost-reduction program, which involves substantially eliminating the commercial infrastructure for the drug. May 3 (Reuters) - Biogen Inc's BIIB.O Chief Executive Officer Michel Vounatsos is stepping down, at a time the drugmaker is grappling with insurance coverage issues related to its. (2020). Biogen says that additional actions on the drug may be informed by upcoming data readouts as well as further engagement with the FDA and CMS. 6. (Reuters) -- Biogen said on Tuesday that Chief Executive Michel Vounatsos will step down and that the company is pulling back on selling its . Message : * Required fields. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. The stock is down 47% since Aduhelm was approved in June. The companies have initiated the rolling submission of a new drug application (NDA) to the FDA for MDD, which is expected to be completed in the second half of 2022. Matteis, though, notes how analysts generally see this lecanemab study as "risky" a term used often on Wall Street to describe Biogen's neuroscience-focused research programs. Get the free daily newsletter read by industry experts. 5 MINUTES WITH: Stuart Needleman, Chief Commercial Officer, Piramal Pharma Solutions. The company reported a 26% fall in quarterly profit as sales of its blockbuster multiple sclerosis drug Tecfidera continued to be pressured by cheaper versions of the treatment. Read more at The Business Times. Note: This story has been updated with analyst commentary and additional detail. Dina Rudick/Globe Staff/file Biogen will replace its CEO and largely abandon marketing of its controversial Alzheimer's drug Aduhelm less than a year after the medication's launch triggered a. By clicking Accept, you consent to the use of ALL the cookies. How a Japanese Drugmaker Got The 'Clean Win' Over Alzheimer's. Biogen's stock is down 13.4% this year, while the S&P 500 SPX, -0.78% has declined 12.8%. Oct 31, 2022 08:00am. Biogen shares were up about 1.3% at $210.03 on Tuesday. The company reported a 26% fall in quarterly profit as sales of its blockbuster multiple sclerosis drug Tecfidera continued to be pressured by cheaper versions of the treatment. Biogen's Chief Executive Officer Michel Vounatsos is stepping down, at a time the drugmaker is grappling with Medicare restricting coverage for its Alzheimer's drug Aduhelm to patients in. At the time of Aduhelm's approval, the company and its development partner, Eisai, had earmarked $600 million to help support launch activities. Canada Read Full Article Washington Times Lean Right Mixed Factuality Once considered a blockbuster-in-waiting, Aduhelm, as the drug is known, has faced strong pushback from insurers and some doctors since its approval last June. Biogen said on Tuesday chief executive Michel Vounatsos will step down and that the company is pulling back on selling its controversial Alzheimer's drug Aduhelm, in what . The study has enrolled nearly 1,800 participants and should produce data by September. This category only includes cookies that ensures basic functionalities and security features of the website. Biogen CEO Michel Vounatsos will be stepping down from his position after more than five years at the helm, with this development coming not long after Medicare decided to limit coverage of his company's Alzheimer's drug Aduhelm. Lindsay Rosenwald's Fortress Bio 'Uniquely' Positioned to Capitalize on Current Long Biotech Winter. Advertisement Lecanemab, another collaboration between Biogen and Eisai, is the next anti-amyloid drug in their pipeline. Biogen CEO Steps Down, Downsizing Sales of Aduhelm. (Reuters) - Biogen Inc said on Tuesday its Chief Executive Officer Michel Vounatsos will step down and the company has started a search for a successor. The company also invested in gene therapy research through various partnerships and the acquisition of Nightstar Therapeutics. The $500-million is in addition to further cost-reductions announced by the company in December (December 2021) to bring its total annualized cost-savings to $1 billion. Updated May 3, 2022 3:13 pm ET. Year-to-date, BIIB is down more than 12%. The future of Aduhelm has been in doubt since the U.S. government's Medicare program restricted coverage of the medicine to patients in . Gene therapies could help treat many ultra-rare diseases. The companies plan to complete the rolling submission for lecanemab under the accelerated approval pathway in the US in the second quarter of 2022. 2022 CNBC LLC. Biogen CEO Michel Vounatsos will resign as the company begins to substantially reduce its infrastructure for producing Aduhelm. A Division of NBCUniversal. In June 2021, Aduhelm was approved under FDAs accelerated approval pathway. By Mrinalika Roy and Leroy Leo. Stifel analyst Paul Matteis took a similar view, writing that Biogen's future appears uncertain. Vounatsos, who was appointed Biogen's CEO in 2017, will continue to stay on in the role while the company searches for his replacement. But opting out of some of these cookies may affect your browsing experience.

Starbucks Part Time Jobs In Bangalore, St Paul Saints Fireworks Time, Places To Visit In Kovalam In 2 Days, Shooting In Crestview, Fl Today, Outdoor Birthday Party Ideas Fairfax Va,