Korean New Drug No. 30 vs Korean new drug No. 35…Assessing competitiveness
Korean new drug No. 30 ‘K-CAB (active ingredients: tegoprazan)’ and No. 35 ‘Fexuclue (active ingredient: fexuprazan hydrochloride) have two things in common.
Both are the drugs for gastroesophageal reflux disease, and potassium competitive acid blockers (P-CAB).
It is said that the two drugs have improved the shortcomings of existing PPIs (proton pump inhibitors) as P-CABs. Therefore, the two products must have a fierce competitive relationship in the market.
Particularly, in terms of efficacy and effectiveness, both products have excellent medical clinical data and product reliability to the extent that no one can tell which one has the upper hand. However, a stock market analysis came out, reporting that K-CAB is superior in many aspects, including indications.
The business report by Shinhan Investment Corp. released on December 23rd analyzed that the stable growth of HK InnoN’s K-CAB is expected as it is superior to Daewoong Pharmaceutical’s Fexuclue in terms of indications and formulation.
In particular, the report predicted, “From next year, the sales of K-CAB will increase further following the registration of insurance benefits in China.”
Mr. Jeong Jae-won, senior researcher at Shinhan Investment Corp. said that the stable growth in all business divisions regarding K-CAB is expected.
He also suggested that it was expected to generate royalty sales due to being listed on the insurance benefits in China at the beginning of next year, and there is a possibility of signing a contract on favorable terms within next year as the co-promotion contract for K-CAB in Korea is terminated at the end of 2023.”
Senior researcher Lee Dong-gun predicted, “There were concerns about a decrease in sales of K-CAB with the launching of Fexuclue in July, but the impact of a short term decrease in sales is likely to be small as K-CAB is superior in terms of indications and formulations at the moment.”
Meanwhile, Shinhan Investment Corp. analyzed that HK InnoN's consolidated sales and operating profit for the fourth quarter were 242.5 billion won and 29.2 billion won, up 15.8% and 69.5%, respectively, compared to the same period last year.
The factors contributing to the good performance include an increase in the amount of prescriptions for K-CAB due to seasonal factors, an increase in profitability due to an increase in the proportion of oral disintegrating tablets (dissolving in the mouth) prescriptions, and an increase in sales due to a gradual increase in the operation rate of a new infusion plant.
HK InnoN's sales for next year were estimated to be 937.4 billion won and operating profit 87 billion won.
[WIKI KOREA=Cho Eun, Reporter]
choeun@wikileaks-kr.org