Novo Nordisk (NYSE:NVO) said today that it inked a value-based contract for its Type II diabetes drug, Victoza, with pharmacy benefit manager Prime Therapeutics.
The agreement is part of Prime’s CareCentered Contract program. Under the terms of the deal, Prime will evaluate Victoza’s efficacy and will reimburse commercial clients if certain measures aren’t met, according to the company.
“Drugs used to treat diabetes contribute a large portion of overall drug costs for our health plan clients. We appreciate Novo Nordisk’s collaboration to address diabetes treatment in a way that will allow us to use data and analytics to improve patients’ health and promote affordability,” Dr. Jonathan Gavras, Prime’s chief medical officer, said in prepared remarks. “Better understanding of the complexities that affect diabetic members will ultimately improve patient outcomes. This program will also aid patients’ abilities to adhere to medications as directed, which is invaluable for people with diabetes to help prevent more serious, future health issues.”
“Novo Nordisk has been focused on improving diabetes care for over 90 years, developing medicines that are vital for glucose control. Through this contract, we saw an opportunity to bring together our depth of diabetes knowledge with Prime’s strong analytics capabilities to help people with diabetes,” Dr. Todd Hobbs, Novo Nordisk’s U.S. chief medical officer, added. “Improving patient care is a key focus for both organizations and we’re hopeful that over time our learnings lead to helping all of our customers better understand what works and what doesn’t.”
In August, the FDA approved a new indication for Novo Nordisk’s Victoza liraglutide injection, clearing it as the only Type II diabetes medication indicated to reduce the risk of cardiovascular diseases, like heart attack and stroke.
The regulatory watchdog’s decision is based on results from Nordisk’s 9,300-patient Leader trial, which showed that Victoza significantly reduced the risk of cardiovascular death, non-fatal heart attack and non-fatal stroke.
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