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Tysabri Cost Data Shows Up To $23,274 Benefit Over Other MS Therapies

This article was originally published in The Pink Sheet Daily

Executive Summary

Biogen Idec/Elan report data showing a treatment cost benefit with Tysabri based on multiple sclerosis relapses avoided.

Data presented by Biogen Idec and Elan show that treatment of patients with relapsing forms of multiple sclerosis is more cost effective with Tysabri (natalizumab) than with other approved disease-modifying MS therapies based on the cost per relapse avoided.

The cost per relapse avoided with Tysabri was $12,730-$23,274 lower than other treatments, the firms reported Oct. 6 during the Academy of Managed Care Pharmacy's Educational Conference in Chicago.

A Phase III study of Tysabri showed significantly reduced corticosteroid use and hospitalizations among patients treated with natalizumab, as well as an increased number of patients with no disease activity.

Data from the AFFIRM monotherapy study, a two-year trial of 942 patients, showed a 69% relative reduction in the annualized rate of relapses requiring corticosteroids among patients treated with Tysabri, compared to those treated with placebo. Tysabri also resulted in a 65% relative reduction in the annualized rate of MS-related hospitalizations.

In a post-hoc analysis to determine the proportion of patients free of disease activity over two years, Tysabri showed a significant improvement compared to placebo, increasing the proportion of disease-free patients by 79%.

Using a model constructed by Xcenda, the firms compared the cost per relapse avoided among the five approved disease-modifying MS therapies to treat relapsing forms of the disease.

The cost of treatment was calculated using U.S. wholesale acquisition drug cost, costs associated with drug administration, patient monitoring and treatment of relapses. Costs associated with adverse events were not included in the model.

Effectiveness was defined as "the number of relapses avoided with treatment." It was calculated as the "number of relapses for a non-treated population multiplied by published relapse rate reductions for therapies."

Based on the model, the cost was lowest for Tysabri.

Biogen Idec/Elan priced Tysabri 20.8% higher than its 2004 launch price at $2,184.62 per vial when the biologic returned to the market in July (1 (Also see "Tysabri Re-Launches In U.S. Through Single Distributor" - Pink Sheet, 24 Jul, 2006.)).

At the time, the companies justified the higher price by citing the 12-year development plan for the drug, its increased efficacy and the cost of establishing a risk management plan.

The relaunch of Tysabri was contingent on the establishment of a restrictive TOUCH program, intended to manage risk for progressive multifocal leukoencephalopathy, which led to its withdrawal.

-Jessica Merrill ([email protected])

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