Prolia and Ryaltris adjust drug pricing

due to reimbursement expansion and the PVA

Prolia, osteoporosis treatment, voluntarily reduces drug pricing in consideration of National Health Insurance finance

Ryaltris, priced 30% higher than the expected claim amount, has agreed to reduce its pricing.

Prolia.

Amgen Korea and Chong Kun Dang Pharmaceutical will voluntarily reduce the price of 'Prolia,' which they are jointly selling.

 

As the government expanded the administration guidance of osteoporosis medicines, Prolia, which is expected to see an increase in sales following the reimbursement expansion, voluntarily adjusted the ceiling price of the drug.

 

Prolia recorded sales of KRW 151.1 billion last year (according to IQVIA), ranking second in the domestic pharmaceutical sales in Korea, following Keytruda.

 

Some products, such as Yuhan’s 'Ryaltris Nasal Spray,' will lower the ceiling price due to increased usage.

 

According to industry sources on the 22nd, the ceiling price of Prolia Prefilled Syringe (denosumab) will be reduced from KRW 162,600 to KRW 156,100 starting May 1st.

 

This measure was taken as part of the reimbursement expansion.

 

The government aims to support senior healthcare by increasing the reimbursable period to two years after treating osteoporosis, which has a preventative effect on bone fractures.

 

The drug is currently reimbursable when the bone density is below -2.5 (T-score value).

 

But starting in May, it is reimbursable for up to two years when the T-score is below -2.0 or up to -2.5.

 

The expanded reimbursement scope is expected to benefit 44,773 patients.

 

As part of the reimbursement scope expansion, the company selling Prolia voluntarily lowered the drug pricing under the agreement with the National Health Insurance Service (NHIS).

 

The impact of the reimbursement expansion of osteoporosis medicines, following the voluntary drug pricing reduction, on the first annual finance is expected to be around KRW 5.6 billion.

 

Prolia has dominated the osteoporosis medicine market since its domestic launch in 2017.

 

Its co-promotion agreement with Chong Kun Dang Pharmaceutical yielded synergistic effects.

 

In 2019, Prolia became the top-selling drug after receiving reimbursement coverage as a first-line osteoporosis treatment.

 

This drug is a biologic that targets RANKL, which is essential for the formation, activation, and survival of bone-destructing osteoclasts.

 

Last year, Prolia was ranked second among the medicines with the highest performance in South Korea.

 

According to IQVIA’s report on sales figures, Prolia recorded sales of KRW 151.1 billion, second only to the anticancer immunotherapy drug Keytruda, which generated KRW 398.7 billion.

 

Its voluntary price reduction is anticipated to relieve the patients’ co-payment burden and save National Insurance funds.

 

Ryaltris.

Meanwhile, Yuhan’s allergic rhinitis treatment, 'Ryaltris Nasal Spray (momethasone furoate/olopatadine),' which was included in reimbursement, saw a more than 30% increase in claimed amount compared to the expected amount.

 

As a result, the reimbursement ceiling price was adjusted under the negotiated agreement based on the price-volume agreement (PVA, Type GA).

 

Initially, an agreement was reached during the drug pricing negotiations for an expected claim amount of KRW 1.02 billion for this drug.

 

However, it is expected that the actual sales will exceed this amount.

 

Based on the outpatient prescription sales reported in last year's UBIST data, it was KRW 3.3 billion.

 

Starting in May, the price of Ryaltris Nasal Spray (18 mL) will be adjusted from KRW 6,197 to KRW 5,893, and Ryaltris Nasal Spray (31 mL) will be adjusted from KRW 12,396 to KRW 11,789.