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  4. CytoDyn Inc (CYDY) Message Board

Did you mean by "Cost of drug" --> "Retail price"?

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Post# of 155128
(Total Views: 393)
Posted On: 12/28/2019 7:27:29 AM
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Posted By: TechGuru
Re: smlf #13815
Quote:
Did you mean by "Cost of drug" --> "Retail price"?
It is my understanding they start at $60K price point with $45-60K range.



Yes, I was looking at it from Vyera's perspective. This is what the retail will be in the market. I took the average 45-60 and rounded down (conservative estimation).


Quote:
But, what is the cut of PBM, wholesaler and pharmacy out of it before collected by Vyera? Also, they may potentially start with some initial discounts to the Retail price, that may increase initial marketing costs.



I included 20% in the costs, if the discount is larger than this it will need to be adjusted accordingly (is a "napkin" calculation). However, Vyera will try not to discount much as this will "eat" into their profits.


Quote:
COGS for 350mg from Samsung is $3K, per their agreement announcement, and we get 10% of it from Vyera.



Thanks, I did not know the COGS and assumed an industry average (26%) so, I should diminish the COGS to $6K form $13K. This will work on Vyera's advantage as well as CYDY's.

I will modify my calculations and include de 10% ($600) per patient paid to CYDY. As the appendix of the commercialization agreement get published we will have more information. The milestone payments will be likely tied to number of doses sold so we would be able to "blend" them into a percentage of each dose for a more accurate calculation.

Thank you for your insightful comments


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