Gilead Sciences Inc (NASDAQ:GILD) has announced it will charge thousands of dollars for its investigational drug remdesivir, temporarily approved in certain countries as coronavirus treatment.
In the US, a five-day course will cost US$3,120 for patients with private health insurance, while those on government programmes such as Medicaid will be charged US$2,340.
READ: Gilead Sciences' remdesivir shows improvement in coronavirus patients with moderate pneumonia
The pharma giant said this price, which amounts to US$390 per vial, will be offered to all governments in developed countries around the world where remdesivir is approved or authorised for use.
Less wealthy countries will be able to receive a generic version, as Gilead inked licensing agreements with five manufacturers.
Remdesivir price is out now. As I suspected, it’s not cheap
Gilead is charging hospitals between $3,120 and $5,720 per patient
Payment will begin in July, likely in anticipation of making a profit in the second wave of COVID-19
Lot of money for a drug w/ no mortality benefit. https://t.co/DsPvNc4NBx
— James Todaro, MD (@JamesTodaroMD) June 29, 2020
Clinical trials showed that the antiviral can help patients with moderate pneumonia to recover faster compared to the standard of care over a 5-day course, while the 10-day treatment did not show statistical significance.
It is also being evaluated in combination with Roche’s arthritis treatment Actemra for severe coronavirus cases.
Shares rose 2% to US$76.06 on Monday after open.