Amco Drug Prices I was thinking about the claims that short traders have made regarding CXRs pipeline being drugs that would be branded generic and subsequently have their prices hiked to the detriment of the NHS. I reviewed the conference call again for further clarity on the issue and the claim seems completely unfounded. See below for full response to AMCO pricing question:
"I can give you a general overview about how we view price. We are part of the generics business in the UK, which is a constantly churning market as prices are going down and going up. We play our part in that. We play a big part in creating some very significant savings to the British taxpayer, to the NHS. Many of our products that we already have in our portfolio and very many in the 60 that we are going to launch are specifically designed to create savings for the NHS and gain volume as a result of that value proposition.
But it is a generics game, so prices are moving. Some prices are moving up; some prices are moving down. It is probably worth putting into perspective that last year our medicines in the UK were valued at around about GBP5.90. That is GBP5.90 per pack on our bridge. This is 70% less than the cost of an average branded medicine, which is about GBP20 in the UK.
So sometimes you do see some -- we have seen some (technical difficulty), but saving money for the NHS is not a great story, but that is mainly what we do."