Oncopeptides ensures five years extended market exclusivity for Pepaxti in Europe

Stockholm, February 15, 2024 – Oncopeptides AB today announces that it will receive an extension of a key patent ensuring market exclusivity for melflufen, marketed in Europe as Pepaxti, in Europe until 2037, an extension of five years.

The so-called supplementary protection certificate (SPC) extension ensures that Oncopeptides will have the exclusive rights to produce and market melflufen in Europe for another five years. The company has previously communicated that it estimates market potential for Pepaxti in Europe at 1.5 billion SEK per year.

“The extended exclusivity on the European market for Pepaxti creates added opportunity for Oncopeptides, and we look forward to being able to continue serving the high unmet need for patients suffering from relapsing, refractory multiple myeloma for even longer, which we believe could create significant benefits for both patients and our shareholders,” says Sofia Heigis, CEO of Oncopeptides.

Oncopeptides intends to also comment further on this event during the presentation of its Year-end report 2023 on February 27 at 9.00 CET (invitation to come separately).

Questions and answers for investors

What is this?

Oncopeptides has communicated that it will receive an extension for a key patent allowing the company to maintain market exclusivity in Europe for another five years, from 2032 to 2037.

What does this mean for the company?

When a patent expires, other drug manufacturers have the right to leverage Oncopeptides’ innovation and produce so called generic versions of Pepaxti, significantly reducing the price of the product and Oncopeptides’ ability to earn money from its product. The extension of the patent for five additional years, means that the company will have the sole right to produce and market Pepaxti in Europe for five more years, meaning five more years of net sales at a high level since this is at the end and near the peak of the sales phase of the drug.

How much is this worth in actual money?

While we have estimated the market potential in Europe for Pepaxti to be around 1.5 billion SEK per year, Oncopeptides has not provided the market with guidance on what it expects its sales to be in 2032.