BioDelivery Sciences International, Inc. (NASDAQ:BDSI) has secured improved positioning for Bunavail (buprenorphine and naloxone) under three new managed care contracts.
Bunavail is a buccal film marketed in the U.S. by BioDelivery for the treatment of patients with opioid dependence. It is based on BioDelivery’s patented BioErodible MucoAdhesive (BEMA) drug delivery technology.
The three new managed care agreements will enhance Bunavail’s positioning from non-formulary or non-preferred to preferred formulary, providing preferred access to the drug in the maintenance treatment of opioid dependence.
Symphony Health estimates the three additional plans to provide Bunavail potential access to nearly 200,000 prescriptions annually for buprenorphine products for opioid dependence. Two of these contracts add Bunavail to both branded buprenorphine/naloxone products, while the third provides access in combination with the market leader only.
The latest contracts are in addition to the two previously announced by BioDelivery in July and August, which were responsible for approximately 60,000 prescriptions last year. The improved prescription potential in these five new managed care contracts would boost sales and profitability of Bunavail, thereby adding to BioDelivery’s top line.
BioDelivery is making efforts to improve Bunavail’s performance. The company has reduced the number of sales territories and is focusing on the highest-growth territories. Management is also focused on a highly targeted Bunavail-oriented, direct-to-patient digital advertising campaign across four cities. Bunavail will also benefit from the U.S. Health and Human Services (HHS) ruling lifting the patient cap, allowing physicians to treat up to 275 patients now, up from the earlier level of 100 patients, for opioid dependence.
A reduced cost structure, combined with the new managed care contracts, is expected to push Bunavail to profitability by the end of next year.
Zacks Rank & Key Picks
BioDelivery Sciences currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the health care sector include ANI Pharmaceuticals, Inc. (NASDAQ:ANIP) , Anika Therapeutics Inc. (NASDAQ:ANIK) and Cambrex Corporation (NYSE:CBM) . Each of these stocks sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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