United Therapeutics Corporation (UTHR - Free Report) entered into a deal with DEKA Research & Development Corp. for the development of a pre-filled, semi-disposable pump system for the subcutaneous delivery of Remodulin injection to patients suffering from pulmonary arterial hypertension (PAH).
The new semi-disposable pump system should provide benefits in terms of convenience and delivery of subcutaneous Remodulin in PAH patients.
While the financial details of the agreement were not disclosed, United Therapeutics mentioned that it intends to introduce the new subcutaneous Remodulin delivery system in the 2016–2018 time frame.
We remind investors that United Therapeutics has an agreement with Medtronic, Inc. (MDT - Free Report) for the development of an implantable pump (the SynchroMed II implantable drug infusion system) to deliver Remodulin. Last week, Medtronic filed a pre-market approval application with the FDA for the same. In addition to this, United Therapeutics intends to submit a supplemental new drug application for Remodulin shortly, for the use of the drug with Medtronic's SynchroMed II implantable drug infusion system.
United Therapeutics’ key revenue generator, Remodulin recorded sales of $417.1 million in the first nine months of 2014, up 12.3% from the year-ago period. The product accounts for 44.3% of the company’s revenues. Apart from Remodulin, the company’s PAH product portfolio consists of Orenitram, Adcirca and Tyvaso. However, several companies are looking to bring additional therapies to the market including Actelion . Moreover, the company is facing generic challenges from a couple of companies.
United Therapeutics currently carries a Zacks Rank #3 (Hold). A better-ranked stock in the health care sector is Cubist Pharmaceuticals Inc. carrying a Zacks Rank #1 (Strong Buy).