ASX-listed pharmaceutical companies sink after Trump post on drug costs
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The news: ASX-listed pharmaceutical companies were among the worst performers across the ASX 200 on Monday after US President Donald Trump said he would sign an executive order to cut prescription prices.
The numbers: At 11:36am AEST, Clarity was down 6.38% to $2.28, Neuren had dropped 4.74% to $12.66, and Telix had lost 4.14% to $25.69.
The context: In a post on Truth Social Trump said that he would sign an executive order that prescription drug and pharmaceutical prices be reduced by 30% to 80% “almost immediately”.
Trump said prices for prescription drugs and pharmaceuticals in the US were higher than any other country, and sometimes five to 10 times more expensive.
However, he did not provide any details on how the order would work.
Neuren’s partner, NASDAQ-listed Arcadia, holds an exclusive licence from Neuren for its Daybue drug to treat Rett syndrome. It also has another drug in Phase 2 of development to treat four neurodevelopmental disorders that emerge in early childhood.
Meanwhile, Clarity has 11 diagnostic and theranostic therapies in various stages of development in the US to treat prostate cancer, neuroblastomas, and neuroendocrine tumours.
Telix has received approvals for the US Food and Drug Administration for its prostate cancer imaging agent.
What they said: Pharmaceutical prices “will rise throughout the World in order to equalize and, for the first time in many years, bring FAIRNESS TO AMERICA! I will be instituting a MOST FAVORED NATION’S POLICY whereby the United States will pay the same price as the Nation that pays the lowest price anywhere in the World,” Trump’s post said.
“Our Country will finally be treated fairly, and our citizens Healthcare Costs will be reduced by numbers never even thought of before.”
The source: Truth Social
