Madam Therapeutics

European Biotechnology Magazine: novel antibiotics become a more interesting investment opportunity.

In autumn, stakeholders across the globe pledged to take more action in the fight against antimicrobial resistance (AMR). Whereas from the “push” side new public and private initiatives appeared on the screen, discussion about which “pull” mechanism should be started first is in full swing.

Meanwhile, small and medium-sized companies combine forces aiming to propel preclinical and early clinical R&D.

Just recently, Kevin Outterson, head of US-based financing vehicle CARB-X, stated on Twitter  on the departure of Melinta Therapeutics from the development space “Does anyone need more proof that the way we pay for antibiotics is thoroughly broken and we need delinked reimbursement reform immediately?”

Kevin Outterson, CARB-X

European Biotechnology Life Science and Industry Magazine now reports that the business case for new antimicrobial is rapidly getting better, thanks to new funding instruments.

The magazine for example quotes FDA commissioner Scott Gottlieb, who advocates for stronger “pull” incentives, including new reimbursement models that would provide milestone payments and subscription fees for new FDA-approved antibiotics with demonstrable clinical and social values.

Scott Gottlieb, FDA commissioner

Pilot projects based on new market incentive models are also prepared at NICE in the United Kingdom, as AMR experts told European Biotechnology, but currently financing is still under discussion. In most other European countries, however, government‘s priority action goes into push funding.

More on this topic via this link.


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