Swiss pharmaceutical giant Roche Holding AG is on track to secure reimbursement for its highly successful eye drug, Vabysmo, in the top five European markets by the end of this year. The company is currently finalizing negotiations with payers in Italy, France, and Spain and is confident that it will secure national reimbursement in all three countries. Vabysmo, an eye injection, has already gained wide availability in the UK and Germany. The drug received marketing authorization in Europe in September 2021, but securing coverage through public insurance in other European countries typically requires an agreement on pricing.
Reimbursement in these key European markets is crucial for Roche as it aims to achieve $2 billion in sales for Vabysmo this year. The drug is a vital component of the company's strategy to offset the loss of revenue from COVID-19 tests and treatments, which provided significant windfalls during the pandemic.
While the eye drug is already widely used in the United States, it is now seeing "strong uptake" in other countries as well, according to Nilesh Mehta, Roche's franchise head for ophthalmology. For instance, Switzerland and the UK have shown positive responses to Vabysmo since its approval in May 2022. The UK's drug advisory board, NICE, endorsed the drug just a week after its approval. Mehta highlights that this demonstrates the value and cost-effectiveness of Vabysmo.
Although Roche has not disclosed the drug's price in the UK, it does reveal that Vabysmo has a list price of €1,136.52 ($1,241) per vial in Germany, which is about 40% lower than its price in the US. Germany is known to be one of the most expensive markets for pharmaceuticals in Europe.
Roche's shares remained little changed in Zurich despite the positive developments. The company has faced a 12.5% drop in its share value this year, while the Bloomberg index tracking European pharma companies has seen an 8% gain.