RE:RE:Bankruptgreatplay, you are making us all crack a rib. Do you know why the insiders cashed their restricted share units? You call this a BONUS? Do you know why the managment pulled their financial forecasts? Are you the worst pumper that this bull board has ever seen (YESSSSSSS)????
Do you know that the drug you mentioned in your post just now was one of the ones that started this the hot mess over in the United kingdom that the Competition and Market Authority has recently started Investigating Concordia for?
Nah, didn't think so. It is hilarious that you think that the insiders got a bonus for a job well done and that they should not be blamed for cashing in their "bonus". What a joke you are for a trader trying to trade a bounce and justify insiders blowing out of their stock. Now it isn't just Thompson and Kupinsky .... its now nine other insiders as well. What a clusterfuuuccccckkkkkkkkkkkkkk
On numerous occasions throughout the proceeding, parliament members specifically cited alleged pricing abuses by Amdipharm Mercury Ltd., or AMCo, the portfolio of drugs now owned by beleaguered pharmaceutical company Concordia. AMCo has consistently subjected drugs to steep price increases, indicating the existence of a business model in which companies profiteer off reimbursement schemes at the expense of the National Health Service and taxpayers, conservative MP Kevin Foster said during the proceeding.
At issue is the disparity between the statutory scheme and the voluntary pharmaceutical price regulation scheme, or PPRS, which are the two regulatory plans governing drug reimbursements in the United Kingdom. The disparity, which allows companies with mixed portfolios of unbranded generic drugs and branded drugs to evade price controls by joining the PPRS, has created an incentive for drug manufacturers to leave the statutory scheme and join the PPRS with the purpose of exploiting the loophole, the MPs said. This has forced the NHS to purchase unbranded generic medicines at “grossly inflated prices,” since only competition currently regulates the cost of generic drugs per the PPRS, or otherwise transfer patients to medicines that are not the first preference, the MPs said. In effect, this has put more pressure on an already strained, taxpayer-funded NHS budget, the MPs said. The members of Parliament repeatedly referred to the practice as “profiteering.”
While competition is generally effective at controlling generic drug prices, the practice of exploiting monopoly positions in uncompetitive markets cannot remain unchallenged, the MPs said. While the Competition and Markets Authority, or CMA, is pursuing its own investigations of alleged market power abuses, the U.K. government must use the legislative framework to close the loophole to prevent future abuses and ensure fairness between the pharmaceutical industry and the NHS, the MPs said. At the same time, a balance must be struck with the understanding that pharmaceutical companies must raise and then invest huge amounts of money to develop new treatments, they said. Of the 166 companies subject to the PPRS, 17 would be affected by the effort to close the loophole, the MPs said.
During the proceeding, specific mention was made of the 28% hit taken by Concordia’s equity as a result of the bill’s introduction, which also sent the company’s 7% notes tumbling. Concordia is subject to the PPRS via its branded drugs. Labour MP Justin Madders spoke of Concordia’s AMCo portfolio and how its business strategy has been described as “specializing in the licensing and development of off-patent products,” which can be code for “establishing and abusing a dominant market position,” he said. Concordia took on additional debt to purchase AMCo from private-equity firm Cinven in October 2015. Around that time, management said that 88% of the top 20 products by revenue generation in the AMCo portfolio were estimated to have two or fewer competitors. A 2014 annual report regarding AMCo, published by Cinven, details through the following graphic the business strategy of purchasing off-patent drugs, then raising the price to grow revenue: