Spectrum CEO Encourages a Big Picture View of the Company, Expects Long-Term Expansion
As the second-most prevalent cancer in the U.S. and 3rd leading cause of death, colorectal cancer and its treatment present a major market for Spectrum Pharmaceuticals’ (NASDAQ:SPPI) oncology drug, Fusilev, says CEO and President Rajesh Shrotriya. In an exclusive interview with PropThink, Shrotriya details the future prospects for this $220M drug, which has been growing rapidly in the last year and a half. He also responds to concerns about competition from generic leucovorin and alleged Fusilev price cuts, explaining that Fusilev pricing has actually been on the rise this year and that J-Code reimbursements are an important facet of the drug’s salability. The discussion includes Spectrum’s recent acquisition of Allos Therapeutics and oncology agent Folotyn, which have in turn resulted in overall cost-savings for Spectrum and its new subsidiary, as well as increased revenues as the company added the third product to its marketed oncology franchise.
Shrotriya expects Spectrum’s franchise to grow in the long-term based on its broad pipeline: “We have about ten oncology drugs in development. None of these drugs are in test tubes or in mice. All of these drugs are in clinical trials, and I’m very proud to say that four drugs are in the latest stages of clinical testing.”
The conversation includes details of SPPI’s $100M share buyback program, its recent COO hire - who previously worked for Amgen (NASDAQ:AMGN) - as well as some upcoming catalysts. Shrotriya discusses the company’s balance sheet and his ambitious three-year goal to grow the company’s market cap to $5 billion.