Biogen/ Eisai deserve $30K price tag for new Alzheimer’s drug – Wells Fargo
travellinglight/iStock via Getty Images

Ahead of the FDA decision on Lecanemab in January, Wells Fargo argues that $30K could be a reasonable annual price to launch the new Alzheimerâs treatment being developed by Biogen (NASDAQ:BIIB) and Eisai (OTCPK:ESALF) (OTCPK:ESALY).
The comments came after Institute for Clinical and Economic Review (ICER) said Thursday that Biogen (BIIB) and Eisai (OTCPK:ESALF), which await the FDA decision on lecanemab by Jan. 06, will have to price the treatment at ~$9K-$21K per year.
âAccess was the primary challenge for aducanumab over price, so we think pricing at $25-30K range could still be appropriate for lecanemab,â the analyst Mohit Bansal and the team wrote, also referring to the companiesâ previous FDA-approved Alzheimerâs therapy.
Biogen (BIIB) and Eisai (OTCPK:ESALF) faced payor pushback after initially pricing aducanumab at $56K per year before cutting it to $28K per year amid concerns over its efficacy and cost.
Wells Fargo analysts noted that the annual price estimated by ICER stands below Street forecasts. However, as the upper limit of ICER analysis is relatively close to Street forecasts for lecanemab and given âsome shortfalls in the simplifying assumptionsâ the ICER has used, âwe see this as an improvement off their position for aducanumab,â the analysts wrote.
The Centers for Medicare and Medicaid Services (CMS) which has severely restricted coverage for aducanumab and similar drugs this year, has already promised to reconsider its position after positive data for lecanemab.