Easier Xifaxan generics negative for Valeant: Wells Fargo
Maris commented, “The FDA has posted new guidance today (3/17) on what is needed for generic Xifaxan, and we believe this is a game changing development that makes it much easier for generics to show bioequivalence (BE). Our current assumption of generic entry on Xifaxan is 2023, and while we are making no changes at this time, this makes us think the likelihood of generics entering then or earlier has just increased dramatically. We believe this is a new significant negative for Valeant.”
The analyst reiterated his Underperform rating.