Yaz Patent Revoked In Europe
Bayer, the German company that makes Yaz and Yasmin, is trying to pass off a recent stock market loss on the expiration of the drugs' European patent protection. But analysts are claiming that the drop in shares for GSK was not caused by the revocation — at least, not exactly. Bayer stated that the European Patent Office revoked the patent after a Novartis generic drug unit filed an appeal against a 2006 decision upholding the patent. This move brought Bayer’s shares down to 1.6 percent lower at 9:07 a.m. GMT. The patent, which protects a specific procedure that is meant to lower the size of the particles that have the pill's active ingredient (referred to as micronisation), was supposed to have lasted until 2020. However, the revocation of the patent may now allow generic versions to be released as early as this year.
Analysts from JP Morgan Cazenove expect to see a generic version from Hexal as early as this year. When it comes to Yasmin products, which used to be the best seller for Glaxo before the American patent protection was lost, the pills are not best sellers anymore and have had thousands of lawsuit filed becasue of the harmful and life threatening side effects. In fact, after patent revocation in the U.S., Yasmin and Yaz sales are down 13 percent from just a year before that.
The analysts have said that Europe is likely to cause a smaller financial blow.
"In Germany the pricing is dramatically lower than in the U.S. at 7.5 euros per month compared to the U.S. at 54 euros per month, which could lead to more brand loyalty allowing Bayer to retain more share," a brokerage firm said.
Medical insurance companies in Europe want to prevent patients from buying generic versions of contraceptives like Yaz and Yasmin because most of the women that buy the drugs pay for them out of pocket. While the revocation was not good news for Bayer and some others, it likely was expected following the patent loss in the United States. Unfortunately for the patients that have suffered from Yaz side effects, many are wondering why they don't simply take Yaz and Yasmin off the market all together.
