Biotech veterans and critics found new company to undercut drug prices

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.LillyPad CEO David Ricks joins megtirrell at JPM20 to discuss Alzheimer's drugs, insulin issues, drug pricing, the 2020 election and more.

They're calling it EQRx, and it's starting with $200 million in series A financing from investors across biotech and Silicon Valley.A pharmacy technician fills a prescription inside a Walmart store in Trevose, Pa.held meetings with his team in a local Barnes & Noble.

In doing so, Borisy is bound to ruffle the feathers of an industry in which he's helped build dozens of companies as an investor most recently at Third Rock Ventures, an industry defending itself for its high price tags by saying they're the necessary cost of innovation. Borisy says he's okay with that.

And their planned prices? A fraction of those of competitor medicines, Borisy said -- about one-third to one-fifth of price tags now. He said it's possible because the industry's sky-high prices have left a lot of fat in the system. Cutting inefficiencies and focusing on areas where the biology is proven, Borisy said, will lead to a success rate of closer to one in two or three, versus the industry's current one in 10.

 

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