Here's Why Alkermes Jumped Almost 11% Today
Shares of Alkermes (NASDAQ: ALKS) closed almost 11% higher in Wednesday trading on news that Biogen (NASDAQ: BIIB) had successfully defended its patent on its multiple sclerosis drug Tecfidera. That's a win for Alkermes because it developed a second-generation version of Tecfidera called Vumerity, which it licensed to Biogen.
If the Patent Trial and Appeal Board (PATB) had ruled in favor of challenger Mylan (NASDAQ: MYL), that company could have launched a generic version of Tecfidera that would have competed with Vumerity.
Vumerity is arguably a better drug than Tecfidera, which can cause diarrhea and nausea in some patients, but patients that don't suffer from those gastrointestinal issues with it would likely opt for a cheaper generic version. And insurance companies might have even required patients to try the generic before letting them try Vumerity.
Source Fool.com
