Morning Consult Health: CVS to Wind Down Its Clinical Trials Division




 


Health

Essential health care industry news & intel to start your day.
May 16, 2023
Twitter Email
 

Today’s Top News

  • Two years after launching its own clinical trials service, CVS Health Corp. is shuttering the unit, with the closure expected to complete by the end of next year. A CVS spokesperson said the division — which had worked with more than 30 pharmaceutical companies on 50 studies involving 33,000 trial participants — was no longer a part of the pharmacy retail giant’s long-term strategy. (Modern Healthcare)

    • Just over half of U.S. adults (54%) said they would be interested in participating in a clinical trial at a retail clinic such as CVS, Walgreens or Rite Aid, per a Morning Consult survey conducted in December 2021.
  • Dr. Monica Bertagnolli was nominated by President Joe Biden to serve as the next head of the National Institutes of Health, putting the NIH National Cancer Institute director in position to succeed Dr. Francis Collins, who stepped down from the post in December 2021, pending Senate confirmation. (The Associated Press) Meanwhile, the NIH said it is currently enrolling patients in an early stage clinical trial to test an mRNA-based universal influenza vaccine, which scientists hope will provide enough immunity that people will not need an annual flu shot. (CNBC)
  • The Federal Trade Commission is expected to sue to block Amgen Inc.’s $27.8 billion acquisition of Horizon Therapeutics PLC, a person familiar with the matter said, in what would be the agency’s first challenge to halt a pharmaceutical deal outright in more than a decade. The lawsuit, which will likely be filed today, will argue that the deal would result in a slower pace of drug development in addition to hindering innovation. (Bloomberg)
  • The U.S. 5th Circuit Court of Appeals paused a lower-court decision that struck down an Affordable Care Act requirement for employer insurance plans to cover various preventive care services, granting an administrative stay while the conservative-leaning, New Orleans-based court takes additional time to review the case. (Axios)
    • Half the public disapproved of the initial ruling from a federal judge in Texas to scrap the ACA’s no-cost preventive care requirements, according to a Morning Consult survey, while a separate survey found that at least 2 in 5 U.S. adults said they are not willing to pay for 11 of the 12 preventive services currently covered by the health law.

Worth watching today

  • The Financial Times’ U.S. pharma and biotech summit begins. Center for Medicare & Medicaid Innovation Director Elizabeth Fowler will provide a federal update on lowering the cost of prescription drugs.
  • House Ways and Means Committee hearing: Health Care Price Transparency: A Patient’s Right to Know,” featuring testimony from former CMMI Director Rick Gilfillan, among others. 
  • Brookings Institution event: Public health in Africa: Assuring health security for all,” featuring a panel discussion with Dr. Chikwe Ihekweazu, assistant director-general for the World Health Organization’s Hub for Pandemic and Epidemic Intelligence.
  • North Carolina’s GOP-controlled legislature will vote on Gov. Roy Cooper’s veto of a bill banning most abortions after 12 weeks, likely overriding the Democratic leader’s move.
 

Chart Review



 
 

What Else You Need to Know

Coronavirus
 

J&J Covid-19 vaccine no longer available in the US

Deidre McPhillips, CNN

The Covid-19 vaccine from Johnson & Johnson is no longer available in the United States, according to the US Centers for Disease Control and Prevention. All remaining doses expired last week, and the CDC directed providers to dispose of any that they had left over.

 

Cash-strapped Novavax urges governments to honour Covid jab deals

Jamie Smyth, Financial Times

US biotech group is among coronavirus vaccine makers struggling with reduced demand post-pandemic.

 

Cigna Must Face Federal Claims in Covid Test Billing Suit

Ufonobong Umanah, Bloomberg Law

Murphy Medical Associates alleges that the insurance company audited and defamed it instead of reimbursing it for COVID-19 testing, which Murphy blames for towns in Connecticut ending business with it.

 

Long COVID research after the public health emergency ends 

Anil Oza et al., NPR News

Estimates show that more than 65 million worldwide have the condition, which encompasses a wide range of symptoms that are worsened or appear after initial SARS-CoV-2 infection. But three years after the first people with persistent symptoms were documented, there is no biomarker for the disease — no test or swab that can diagnose someone with Long COVID.

 
General
 

Mpox outbreak “not over,” warns CDC

Alexander Tin, CBS News

America’s mpox outbreak “is not over” and could see a resurgence over the coming months, the Centers for Disease Control and Prevention said Monday, ramping up their warnings after reports of “ongoing community transmission” of the virus around the country.

 

Abortion laws triggered dozens of health complications, new report says 

Caroline Kitchener, The Washington Post 

A new report has identified dozens of examples in which medical providers say pregnant patients received care in the past year that deviated from care they would have received before the Supreme Court overturned Roe v. Wade — a sign, researchers said, of a pattern of serious health complications triggered by abortion bans.

 

World Health Organization Warns Against Using Artificial Sweeteners 

April Rubin, The New York Times 

The World Health Organization on Monday warned against using artificial sweeteners to control body weight or reduce the risk of noncommunicable diseases, saying that long-term use is not effective and could pose health risks.

 

Trump mum on whether he’d support six-week abortion ban like DeSantis signed

Joseph Choi, The Hill

In an interview published Monday by The Messenger, Trump did not say whether he believed the six-week ban in Florida went too far, instead taking the question as an opportunity to bash DeSantis, who’s considered his strongest competitor to be the Republican Party’s 2024 candidate.

 

Industry debates continued masking in health care settings

Tina Reed, Axios 

The deep divide over masks that was a hallmark of the pandemic is splitting the medical community, where many health workers and their patients, now free of mandates, are opting not to wear them.

 

Vending machines are the latest tool for fighting opioid overdoses 

Matthew Perrone, The Associated Press

Vending machines that have long been stocked with snacks are getting repurposed to distribute life-saving supplies to help fight the opioid epidemic.

 

Veterans exposed to chemical at Camp Lejeune faced a 70% higher Parkinson’s risk, study says

Jen Christensen, CNN

The difference may have been in the Camp Lejeune vets’ exposure to a chemical known as trichloroethylene, a ubiquitous environmental contaminant, the researchers warn. And the risk of developing this disorder of the nervous system may be higher for millions more people.

 

County with high rate of overdose deaths doesn’t use opioid settlement funds for addiction program

Aneri Pattani, KFF Health News

Over the past two years, rural Greene County in northeastern Tennessee has collected more than $2.7 million from regional and national settlements with opioid manufacturers and distributors. But instead of helping people harmed by addiction, county officials are finding other ways to spend it.

 

Processed Meat, the Health Menace Inside Your Sandwich 

Andrea Petersen, The Wall Street Journal

Research linking processed meat to health problems has many doctors urging people to skip deli meat, bacon and sausage.

 

Austin doctors who treated trans kids leaving Dell Children’s clinic after AG Paxton announces investigation

Alex Nguyen and Eleanor Klibanoff, The Texas Tribune

Attorney General Ken Paxton previously announced an investigation into “potentially illegal” activity. Parents are scrambling to find transition-related care for their kids as the Legislature appears poised to ban it altogether.

 
Payers
 

Insurers invest in lab benefit managers amid growing scrutiny of PBMs

Nona Tepper, Modern Healthcare

Insurers are investing in lab benefit managers — who, like pharmacy benefit managers, can shape patients’ access to services—to navigate demand for genetic tests.

 
Providers
 

​​Envision Healthcare files for Chapter 11 bankruptcy

Sydney Halleman, Healthcare Dive

The physician staffing firm suffered from declining profits amid hurdles from the COVID-19 pandemic, prolonged legal battles with health insurers over reimbursement and regulatory crackdowns on surprise billing.

 

CommonSpirit Health reports $1.1B operating loss over 9 months

Dave Muoio, Fierce Healthcare 

Returning patients and hundreds of millions in net investment income wasn’t enough for CommonSpirit Health to outpace a -8% operating margin for the three months ended March 31, according to quarterly financial numbers released Monday.

 

Kaiser, Geisinger deal may speed up hospital consolidation

Alex Kacik, Modern Healthcare

Kaiser’s scale would likely reduce Geisinger’s operating costs, pressuring other Pennsylvania health systems to expand so they can compete.

 

States with fewer immigrant workers have many rural hospitals

Tim Broderick, Modern Healthcare

The American Hospital Association last year warned that rural hospitals face significant workforce shortages. Increasing immigration can be one way to ease staffing pressures, said Matt Wolf, director and healthcare senior analyst at RSM US.

 
Pharma, Biotech and Devices
 

Biden drug czar to summon naloxone makers for price roundtable

Lev Facher, Stat News 

The White House is summoning naloxone manufacturers for a roundtable focused on the medication’s price, the Biden administration’s top drug policy official told STAT.

 

Eisai’s Leqembi and Lilly’s donanemab could bring in $10B+ in combined sales by 2030

Zachary Brennan, Endpoints News 

An FDA approval for Eli Lilly’s amyloid-targeted Alzheimer’s drug donanemab seems all but certain, and it’s now predicted that donanemab and Leqembi, the Alzheimer’s treatment developed by Eisai and Biogen, could bring in $10.2 billion in combined sales in 2030.

 

Mutation Protected Man From Alzheimer’s Disease, Hinting at Treatment

Gina Kolata, The New York Times

A man in his early 40s showed physical signs of the illness, but didn’t develop symptoms until he was nearly 70 because of a protective gene.

 

Some Pharmacies Are Offering Unauthorized Ozempic Alternatives 

Dani Blum, The New York Times 

In the scramble to find Ozempic, patients are seeking out telehealth platforms, medical spas and compounding pharmacies for what some tout as “generic” versions of the drug. But Novo Nordisk, the company that makes Ozempic, does not sell semaglutide for compounding purposes, and a generic form of the drug approved by the Food and Drug Administration doesn’t exist, a Novo Nordisk representative wrote in a statement.

 

NIH nominee likely to be pressed on march-in rights

Adriel Bettelheim, Axios 

Among the subplots surrounding Monica Bertagnolli’s nomination for NIH director is how Senate health committee Chair Bernie Sanders uses confirmation hearings to press for answers on march-in rights to lower drug costs.

 

US Supreme Court rejects Teva challenge to $235 million GSK award in patent dispute

Blake Brittain, Reuters

The U.S. Supreme Court on Monday declined to hear Teva Pharmaceuticals USA Inc’s challenge to a $235 million award to GlaxoSmithKline LLC in a patent dispute over generic drugs involving a heart medication.

 

Pfizer, Seagen kick off antitrust review of $43B merger. Will FTC get on board?

Angus Liu, Fierce Pharma

Pfizer and Seagen on Friday submitted paperwork for their proposed $43 billion merger to the Federal Trade Commission and the Department of Justice, Seagen said in a filing Monday. Pfizer plans to acquire Seagen for $229 per share in cash.

 

Natera wins $19 mln US verdict from ArcherDX in cancer-detection patent case 

Blake Brittain, Reuters 

Genetic testing company Natera Inc (NTRA.O) convinced a Delaware federal jury on Monday to award it $19.3 million in damages from Invitae Corp’s (NVTA.N) ArcherDX for infringing patents related to cancer detection.

 

Big Pharma, US Research Pacts in Flux After Gilead’s Trial Win

Christopher Yasiejko, Bloomberg Law

Gilead Sciences Inc.’s victory in a rare patent-infringement case brought by the federal government, a former research partner, has pharmaceutical industry insiders and healthcare advocates split on whether and how the fallout might affect such collaborations moving forward.

 

Identifying ‘gems’: J&J gives insider look at dealmaking spree

James Waldron, Fierce Biotech

Whether it’s returning to CAR-Ts, swooping in to pick up a Parkinson’s asset from a sinking biotech or setting up a spinout company to pursue its neuroscience ambitions, Janssen has been busy in recent months.

 

Gilead expands Arcus partnership, with eye to inflammatory disease

Jonathan Gardner, BioPharma Dive

The new deal is worth up to $1 billion, and will see the two collaborators work together on up to four inflammatory disease drug targets.

 
Health Technology
 

Dr. ChatGPT: A guide to generative AI in healthcare

Gabriel Perna and Brock E.W. Turner, Modern Healthcare

The healthcare world is abuzz with interest in generative AI and ChatGPT. Here’s what you need to know.

 

In Silicon Valley, a venture capital firm gives health tech startups a crash course in getting paid

Mohana Ravindranath, Stat News

Some early-stage digital health companies raise funding before actually establishing a sustainable business model, forcing them to rely on a shrinking pool of venture dollars while they scramble to cement relationships with insurers and health systems.

 

WHO warns against bias, misinformation in using AI in healthcare 

Reuters 

The World Health Organization called for caution on Tuesday in using artificial intelligence for public healthcare, saying data used by AI to reach decisions could be biased or misused.

 







Morning Consult