Watson Pharmaceuticals Inc.
(
WPI
) added another drug to its list of generic launches as it
announced the launch of Vestura, the generic version of
Bayer
's (
BAYRY
) oral contraceptive, Yaz. Vestura is indicated for the prevention
of pregnancy and the treatment of moderate acne in women who are at
least 14 years old.
According to IMS Health, the total US sales of Yaz and its
generic versions amounted to $510 million for the twelve months
ended November 30, 2011.
The US Food and Drug Administration (FDA) had approved the
company's abbreviated new drug application (ANDA) for Yaz's generic
in November 2011. We note that Watson Pharma and Bayer are
currently involved in a patent litigation lawsuit related to this
product.
Other Generic Launches…
Watson Pharma has been very active over the last few months with
at least one of its generic products hitting the market every
month.
Last month, Watson Pharma announced the launch of a generic
version of
Teva Pharmaceutical Industries Ltd.
's (
TEVA
) LoSeasonique. The drug is used for the prevention of pregnancy.
The launch of the generic drug took place as a part of a settlement
agreement between the two companies.
Since Watson Pharma was the first company to file an ANDA for
the generic version of LoSeasonique, it got 180-day marketing
exclusivity for the generic drug.
Moreover, in November 2011, Watson Pharma announced the launch
of an authorized generic version of
Pfizer Inc.
's (
PFE
) drug, Lipitor. Lipitor is approved for use as an adjunct to diet
to reduce elevated total cholesterol, LDL (bad cholesterol),
triglycerides and increase HDL (good) cholesterol.
According to the supply and distribution agreement, Pfizer will
manufacture and supply all dosage strengths of the authorized
generic product to Watson Pharma, who, thereafter, will market and
distribute the same in the US. In return, Pfizer will receive a
share of the net sales from Watson Pharma. The agreement, which
runs until November 30, 2016, is expected to add about 48 to 53
cents per share to Watson Pharma's 2011 earnings.
We expect the new generic product launches over regular
intervals to help drive the company's Global Generic segment's
sales, which climbed 39% to $802.5 million in the third quarter
2011. Additionally, we expect Watson Pharma's 2011 results to be
positively impacted by the sales of its generic version of
Johnson & Johnson
's (
JNJ
) Concerta, launched in May 2011.
BAYER A G -ADR (
BAYRY
): Free Stock Analysis Report
JOHNSON & JOHNS (
JNJ
): Free Stock Analysis Report
PFIZER INC (
PFE
): Free Stock Analysis Report
TEVA PHARM ADR (
TEVA
): Free Stock Analysis Report
WATSON PHARMA (
WPI
): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment
Research