Celgene Gains on Label Expansion of Revlimid in the EU - Analyst Blog
Celgene Corporation ( CELG ) announced that Revlimid has received approval from the European Commission for the treatment of adults with previously untreated multiple myeloma who are not eligible for transplant. Shares were up 2.5% on the news.
The news did not come as a surprise considering that the Committee for Medicinal Products for Human Use had rendered a positive opinion on Revlimid for newly diagnosed multiple myeloma adult patients ineligible for transplantation.
We remind investors that this is the second positive regulatory update from the company this month. Last week, Celgene announced that the FDA has expanded the existing indication for Revlimid, which can now be used in combination with dexamethasone for treating patients newly diagnosed with multiple myeloma.
Revlimid is approved in many countries across the globe in combination with dexamethasone for treating multiple myeloma patients, who have received at least one prior therapy. Revlimid is also approved in the U.S. in the relapsed refractory mantle cell lymphoma indication.
Additionally, Revlimid is available in many countries for treating transfusion-dependent anemia due to low or intermediate-1-risk MDS associated with a deletion 5q cytogenetic abnormality (with or without additional cytogenetic irregularities).
In 2014, Revlimid generated revenues of approximately $5 billion, representing an increase of 16%. We believe that the inclusion of newly diagnosed patients with multiple myeloma in Revlimid's label could boost its sales further.
Celgene currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include BioMarin Pharmaceutical Inc. ( BMRN ), Cytokinetics, Inc. ( CYTK ) and Ophthotech Corp. ( OPHT ). All three carry a Zacks Rank #1 (Strong Buy).
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