Biogen and Eisai are reworking their Aduhelm deal.
Amidst controversy and slow sales, the companies have decided that starting next year, Japanese pharma company Eisai will only receive royalties from net sales of Aduhelm. Biogen will take over development and commercialization choices for the drug, and in exchange, Eisai won’t have to share global profits and losses.
The amended agreement outlines that royalty rates start at 2% and could reach up to 8% when sales exceed $1 billion. Following a controversial approval last year, the drug's sales have fallen below projected numbers.
Biogen CEO Michel Vounatsos said in a statement that the revised deal should allow his company to more effectively and quickly address "market developments," including an important coverage decision from Medicare expected next month.
Earlier this year, the U.S. Medicare program announced that they were thinking of covering Alzheimer’s treatments — including Aduhelm — but only if patients were enrolled in clinical trials.
Further information about the National Coverage Determination proposed is set to be announced this month.