December 15, 2014
By Riley McDermid, BioSpace.com Breaking News Sr. Editor
Gilead is doubling down on its cancer strategy, on Monday announcing it had hired former Genentech exec Philippe Bishop as the firm’s senior vice president of hematology and oncology therapeutics as it pushes into an increasingly competitive—and lucrative—oncology field.
Bishop was previously vice president of product development for oncology at Genentech, a post he’d held since 2007.“Philippe is an accomplished physician with an extensive background in cancer drug development and I am very pleased to welcome him to Gilead,” said John McHutchison, executive vice president of clinical research. “Philippe’s appointment reflects Gilead’s ongoing commitment to further building a leading hematology and oncology therapeutic area. His clinical development expertise, translational focus and strategic leadership will be of great value as we work to advance our growing pipeline of therapies for hematological malignancies and solid tumors.”
The company said in a statement Bishop will report to McHutchison and will join Gilead’s executive committee.
Making inroads into an oncology sector flooded with global pharmaceuticals conglomerates and crisscrossed by a web of international regulations has not been easy for Gilead.
The only recently got a stamp of approval from the U.S. Food and Drug Administration for its first cancer drug Zydelig, a lymphoma therapy designed to treat non-Hodgkin lymphoma, chronic lymphocytic leukemia and small lymphocytic lymphoma. At $7,200 for a month’s dosage, Zydelig is a cornerstone of the Foster City, Calif.-based firm’s efforts to broaden and expand its oncology pipeline—and bring in the talent that goes with it.
“Over the last several years, Gilead has worked to build strong expertise and an extensive pipeline within the hematology and oncology areas,” said Bishop in a statement. “I am excited to join this dedicated, scientifically focused team, which shares my commitment and passion for scientific innovation, and I look forward to working with them to bring new therapeutic options to people living with cancer.”
Bishop may be able to help Gilead navigate the complex regulatory landscape awaiting later-stage cancer drugs: Prior to joining Genentech, Bishop held positions at the U.S. Food and Drug Administration (FDA) and the National Institutes of Health (NIH), as will as cancer research teams at Johnson & Johnson and Sanofi-Aventis.
Gilead wowed Wall Street with revenue for the third quarter of $6.04 billion, a massive leap from the only $2.78 billion in the same quarter of 2013. Analysts had mostly estimated the company would weigh in with revenue of $5.99 billion, but sales of its blockbuster hepatitis C drugs Sovaldi and Harvoni helped pushed . EvaluatePharma analysts have projected $1.2 billion a year could be brought in by Zydelig by 2020—one of the highest-earning cancer drugs out there.Sanford Bernstein biotech analyst Geoff Porges said in a note to investors in July that Zydelig could net $1.5 billion in annual sales by 2017.
“Zydelig’s monthly price will be $7,200 (WAC), which is lower than the comparable price for PCYC’s Imbruvica in CLL ($8,200),” Porges wrote in a note to investors. “This is also lower than the price for other relatively recently approved hematological cancer kinase inhibitor medications, such as Ariad’s Iclusig ($10,350/month). Our model had been based on pricing in the $8400 range, and this suggests lower revenue potential than we forecast, given the lack of material variability in demand depending on price. Gilead’s pricing decision appears to reflect their recognition that in most indications Zydelig will be co-administered with other medications (Rituxan for example), pushing the monthly treatment cost of $12,000/month for the combination.”
