Dendreon downsizes amid Provenge reimbursement woes
The company reported August gross revenues of $22 million, and “continues to expect modest quarter-over-quarter growth as it works to educate physicians on the improved reimbursement paradigm,” said a release. At the end of August, the company had cash reserves of around $600 million, and expected to be able to achieve break even in the US at around $500 million in revenue.
“We believe that the improved reimbursement landscape and our comprehensive plan to educate physicians, coupled with the meaningful clinical benefit that Provenge provides to patients, creates a strong market opportunity,” said CEO Mitchell Gold, MD.
News of the layoffs capped a week in which Sanofi announced plans to slash an additional $2.9 billion and to reduce its global headcount by 3,000 positions by the end of the year as the company faces the upcoming expirations of patents for Plavix and Avapro.