CVS Health Launches Biosimilars Subsidiary Cordavis
US drugstore chain CVS Health has launched Cordavis, a wholly owned subsidiary that will collaborate with manufacturers to commercialize and co-produce biosimilar products.
For its first product, Cordavis has signed a deal with Sandoz to launch Hyrimoz (adalimumab-adaz), a biosimilar to Humira, in the first quarter of 2024 at more than 80% lower list price than Humira.
Biosimilars offer one of the biggest opportunities for reducing drug costs for employers and consumers. Through Cordavis, CVS Health intends to develop a portfolio of products that it expects will facilitate broader access to biosimilars in the US while encouraging investment in future products. According to CVS Health, the biosimilars market in the US is projected to grow from less than $10 billion in 2022 to more than $100 billion by 2029.
“CVS Health has a history of bringing innovative solutions to the market that lower the cost of drugs and ensure people have access to the medications they need to stay healthy,” said Shawn Guertin, chief financial officer of CVS Health. “Cordavis is a logical evolution for us and will help ensure sufficient supply of biosimilars in the US and support this market now and in the future, while ultimately improving health outcomes and reducing costs for consumers.”
“Biosimilars are crucial to creating competition and reducing costs for specialty pharmaceuticals where drug prices are rising the fastest,” said Prem Shah, chief pharmacy officer and co-president of the Pharmacy and Consumer Wellness segment. “Through our direct involvement, we will expand the supply chain and ensure biosimilar availability in the market.”
