CVS Health has unveiled an initiative by launching Cordavis, a wholly-owned subsidiary, to spearhead introducing high-quality biosimilar products into the market. The primary objective of this strategic move is to curb escalating drug expenditures while ensuring that affordable medications remain accessible to all.
One of the most notable developments is the upcoming launch of Cordavis's biosimilar product, Hyrimoz, in collaboration with Sandoz, scheduled for 2024. Hyrimoz will be introduced at a significantly lower list price, a remarkable 80% less than its counterpart, Humira.
Under the Cordavis banner, CVS Health aims to revolutionize the landscape by forming partnerships with manufacturers to facilitate the commercialization and co-production of biosimilar products. These biosimilars are essentially FDA-approved biologic medications that closely resemble existing FDA-approved biologic with no clinically significant differences. These biosimilars will be distinguished by their FDA endorsement, unwavering quality, and user-friendliness. Above all, they will ensure a consistent, long-term supply of cost-effective biosimilars.
The significance of this endeavor is highlighted by the evolving pharmaceutical sector in the United States, which recognizes biosimilars as a key avenue for mitigating drug costs, benefiting both employers and consumers.
Through Cordavis, CVS Health aims to construct a diverse portfolio of products to expand the accessibility of biosimilars in the U.S. market. With this initiative, CVS aims to reduce prices and encourage investments in future biological products by fostering increased competition. Projections indicate that the biosimilar market in the United States is poised for explosive growth, surging from less than $10 billion in 2022 to an estimated $100 billion by 2029.
As an inaugural endeavor, Cordavis has partnered with Sandoz to expedite the commercialization and market debut of Hyrimoz, a biosimilar to Humira, set to launch in the first quarter of 2024 under the Cordavis private label. What makes this development even more noteworthy is that the Cordavis Hyrimoz will be priced at more than 80% lower than the current list price of Humira.