Novartis AG (ADR) (NYSE:NVS)’s Heart Drug Canakinumab Rocked by Infections and Pricing Concerns

A drug study funded by Novartis AG (ADR) (NYSE:NVS) may have uncovered one of the biggest breakthroughs in the prevention of heart attacks and treatment of lung cancer. Canakinumab appears to have caught many doctors by surprise in the way it works to prevent heart attacks.

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Unlike normal drugs that prevent heart attacks by lowering cholesterol and blood pressure, Novartis’s new drug works by reducing inflammation. Doctors believe the new drug opens a new frontier especially in the treatment of heart attacks that occur in patients with normal cholesterol levels.

“We suddenly know we can address the inflammation itself, the same way we learned almost 25 years ago that we could address cholesterol. It’s very exciting,” said the study’s leader, Dr. Paul Ridker of Brigham and Women’s Hospital in Boston.

Trial results also indicate that patients who were on the drug had lower cancer death rates, especially lung cancer.

However, Canakinumab continues to elicit mixed reactions as doctor’s fear Novartis could end up making it extremely expensive to the reach of many people. Some have also started to question whether its benefits justify its potential risks.

 Canakinumab Risks

Canakinumab has already been associated with increased risks of infections which could undermine its usage. Trial results indicate that about 1 of every 1,000 patients treated with the drug stood the risk of infections with older people and diabetics being the most vulnerable.

Pricing of the drug for the treatment of heart attacks and possibly lung cancer could also pose the biggest headwind on it attracting sales. The drug already costs in the upwards of $200,000 for the treatment of rare forms of arthritis in children.

Aside from its risks, canakinumab raises the stakes in the cardiology market that appear to have stagnated in the recent past.  The drug should bolster Novartis stakes in the industry, especially on its last heart drug, Entresto flopping a great deal.

Novartis was down by 0.06% in Friday’s trading session to end the week at $83.53 a share.

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