Teva Pharmaceutical Industries Ltd (TEVA.O) gets an approval from the US regulators to manufacture the generic form of Pfizer’s Lipitor which is among the best selling and most preferred medication used for lowering the cholesterol content in the body. Thus, Teva plans to manufacture it in May.
Lipitor the world’s biggest selling cholesterol control medication lost its U.S. marketing exclusivity after 14 years and more than $130 billion in lifetime sales. The USFDA granted permission to two other drug makers to manufacture generic Lipitor India’s Ranbaxy Laboratories Ltd (RANB.NS) and Watson Pharmaceuticals Inc (WPI.N) that have already started selling the generic Lipitor in the United States. They are allowed to sell this generic medicine for the first 6 months after the fall of the Lipitor’s patent protection.
Ranbaxy said in a statement that they entered in a pact with Teva to share a portion of profits from the sales of generic Lipitor by Ranbaxy during its six months exclusivity period. The nature of the agreement was not precisely disclosed by Ranbaxy, but the analysts speculated that Teva would be paid by Ranbaxy to help the marketing of the drug. Teva plans to begin selling its own generic after the exclusivity period ends in late May.
Watson the other pharmaceutical company who was permitted to manufacture the “authorized generic” form of Lipitor made by Pfizer, Watson will give its 70% sales to Pfizer. In the mean while Pfizer is utilizing unparalleled tactics to hold onto as many prescriptions of branded Lipitor as it can during those first six months of generic competition, while the two other generic versions are marketed.
There are several other generic drug makers that are expected to announce the approval of their own generic version of the Lipitor once the first six months pact is completed. All the other generic version of Lipitor will be sold under Lipitor’s chemical name Atorvastatin.