Irvine-based Allergan Inc. may be on the hunt for new products, both internally and externally, but it’s still working its core brands by investing in advertising campaigns, according to Chief Executive David Pyott.
“Spending on direct-to-consumer advertising is a good example of how Allergan invests to establish brands and grow markets,” he said on Allergan’s fourth-quarter earnings call this month.
Allergan spent some $180 million, or 3% of its $6 billion in 2013 revenue, on direct-to-consumer advertising, Pyott said.
That was 13% higher than in 2012 and was driven by ads for the Restasis dry-eye drug; flagship Botox, including a new branded television campaign for chronic migraine headaches; and the initial print and television campaign for Aczone, an acne medicine.
Pyott, who has an extensive background in consumer marketing, seemed particularly proud of how audiences responded to a TV spot for Restasis, which accounted for $940 million in 2013 sales and became the top prescription ophthalmic product in the world in last year’s third quarter.
“… a Nielsen report on the most memorable ads across all product categories placed Restasis at No. 9 and is the only pharmaceutical brand in the top 10,” he said.
“More significantly, Restasis was rated as the No. 1 ad across all categories by females 13 years and older. This corroborates that branded TV has contributed to strong Restasis growth in 2013 of 19% in local currencies over 2012,” Pyott said.
Pyott, later during the call, mentioned that the U.S. Patent and Trademark Office has issued three new patents for Restasis and that Allergan submitted them all to the agency’s orange book.
Allergan is taking action to defend Restasis against potential generic competitors.
“In addition, we have filed a [citizen] petition with the Generics Drugs division of [the Food and Drug Administration],” he said.
“This provides us several legal avenues to … defend Restasis, although uncertainty remains as to the status of” abbreviated new generic drug application filers, he added.
Avanir News
Aliso Viejo-based drug maker Avanir Pharmaceuticals Inc. is doing its own version of a pipeline-in-a-single-drug strategy.
Company executives told analysts and investors this month that they’re looking to expand usage of Nuedexta, Avanir’s primary product. Nuedexta is approved for treating pseudobulbar affect, a neurological condition marked by episodes of uncontrollable laughter or crying and that’s often found in connection with diseases such as Parkinson’s and Lou Gehrig’s disease.
Nuedexta is in a pair of second-phase clinical studies for treating agitation in Alzheimer’s disease and dyskinesia, a condition that grows out of the use of levodopa in treating Parkinson’s.
Avanir mentioned a pair of partnerships it got involved in last summer, one with Pennsylvania-based OptiNose U.S. Inc. to develop AVP-825, an acute migraine candidate, and its deal with New Jersey-based Merck & Co. for co-promoting the Januvia, Janumet and Janumet XR diabetes drugs to nursing homes and other long-term care facilities.
The company’s pipeline also includes AVP-786, a drug candidate it’s developing for treating neurologic and psychiatric disorders.
Separately, Avanir said it approved the grant of stock options to seven new employees so they can purchase 48,400 of the company’s shares in the aggregate. The drug maker said in a press release that the stock options “were granted as inducements material to the new employees,” which is permitted under a Nasdaq listing rule.
Placentia-Linda Opens Clinic
Placentia-Linda Hospital will open an urgent care clinic on Feb. 25 in Anaheim Hills.
The clinic is on South Weir Canyon Road and will join the hospital’s other clinic location in Brea. It will specialize in treating a variety of conditions, ranging from sore throats to broken bones.
Placentia-Linda Hospital is one of three in Orange County that’s owned by Dallas-
based Tenet Healthcare Corp., along with Fountain Valley Regional Hospital and Medical Center and Los Alamitos Medical Center.
It ranked No. 16 on the Business Journal’s most recent annual list of Orange County’s largest 30 hospitals, with net patient revenue of $84.1 million and a pretax profit of $12.7 million in the 12 months ended Sept. 30.
Bits and Pieces
Hoag Memorial Hospital Presbyterian said it’s establishing a minimally invasive neurosurgery spine program of neurologists, neurosurgeons, nurse navigators, physical therapists and pain management specialists. Dr. Burak Ozgur, chief of service at Hoag Neurosciences Institute’s neurosurgery spine program, heads the new effort. … Ron Galinsky, a former chief operating and integration officer at Mission Hospital, is now chief executive of Lakewood Regional Medical Center. Lakewood Regional is also owned by Tenet Healthcare.
