Novartis’ Rasitrio Cleared in EU (NVS)

Zacks

Novartis (NVS) recently announced that its triple combination hypertension pill Rasitrio has been cleared in the European Union (EU). Rasitrio combines the currently marketed hypertension pill Razilez (marketed as Tekturna in the US) with amlodipine and hydrochlorothiazide (HCT). The pill is already marketed as Amturnide in the US.

The approval of Rasitrio was based on data from late stage trials which showed that the drug significantly reduced blood pressure as compared to dual combinations of each of its individual components. The positive effect of Rasitrio was seen within a week of starting treatment and was maintained for the entire 24-hour dose interval. The approval of Rasitrio is a definite boon for sufferers of hypertension as most (almost 85%) have to recourse to multiple medicines to control their blood pressure.

Novartis markets other hypertension combination pills like Tekturna HCT, Valturna, and Tekamlo. Tekturna HCT is a single-pill combination of Tekturna and HCT which is marketed in the US and EU (as Rasilez HCT). Valturna, a single-pill combination of Tekturna and Diovan, is marketed in the US. Tekamlo is a single-pill combination of Tekturna and amlodipine, also marketed in the US and EU (as Rasilamlo).

Our Recommendation

Currently, we have a Neutral recommendation on Novartis. The company carries a Zacks #3 Rank (“Hold” rating) in the short run. Though pleased with Novartis’ wide range of products and its efforts to diversify further, as is evident by the acquisition of eye-care company Alcon, we prefer to remain on the sidelines due to the imminent patent cliff faced by the company.

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