Patent Cliff Examples

Bristol Myers Squibb, Amgen and Pfizer approach steepest patent cliffs among large drugmakers
December 29, 2021 (this article was on Fiercepharma.com)

"Biopharma companies are constantly combating patent expirations. But three large drugmakers in particular will be the most negatively impacted from expected exclusivity losses by 2030."

"BMS, Amgen and Pfizer will likely see copycats eat away 47%, 29% and 28% of their respective anticipated 2025 total revenues by 2030."

"BMS itself has outlined around $12 billion to $14 billion related to exclusivity losses between 2020 and 2025."

Eli Lilly: Life after ProzacAs the drug goes off-patent, all-out R&D is paying off
July 23, 2001 (this article was on Bloomberg.com)

"Prozac, with 40 million users, accounted for a quarter of Lilly's $10.8 billion in sales and more than a third of its $3 billion profit last year. With Prozac's U.S. patent set to expire on Aug. 3, however, Lilly will no longer be protected from cheaper generics. Within weeks, the company could see two-thirds of its global market for Prozac--and much of its profit--vanish."

"Acting on a lawsuit by generic drugmakers, a U.S. Court of Appeals ruled last Aug. 9 that Lilly would have to cede its Prozac patent in 12 months, rather than in late 2003, as Lilly had hoped. Lilly's stock plunged by almost a third in one day, to $75 a share, wiping out $36.8 billion in equity. The stock bottomed out at $66 the next month."