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MRSA (Methicillin-resistant Staphylococcus aureus) infects through an open wound and results in lesions and boils. It is resistant to conventional antibiotics, and if it gets into your system past skin, it can kill. In the United States 2.5 million (0.84% of population) carry MRSA, whereas worldwide up to 53 million are affected. A defining characteristic of MRSA is its ability to thrive in the presence of penicillin-like antibiotics, which normally prevent bacterial growth by inhibiting synthesis of cell wall material.
The leading medication against MRSA is linezolid by Pfizer (PFE). The cheapest price for Linezolid is $79.82 per pill that has to be taken twice a day orally for 14 days. That’s over $2,200 a patient just for the medication. Linezolid’s nearest competitor closest to clearing the clinical pipeline is tedizolid from the same family of antibiotics. Tedizolid is developed by Trius Therapeutics (TSRX), which has been working on it since 2004 at a total cost of $135M. Trius ranked number 42 on Deloitte’s Technology Fast 500, a ranking of the five hundred fastest growing companies in North America. Trius’ revenues grew 3,420 percent during the five year period ending 2011. Last year, Trius was ranked number 226 on the Fast 500 list (thus it was on this list two years in a row).
Tedizolid has already successfully completed one phase III trial for oral dosage, and is in the middle of its final phase III for intravenous treatment. The biggest advantage tedizolid has over Linezolid is that tedizolid is administered only once a day for 7 days. That’s a fourth of the number of pills and half the time needed for treatment compared to Linezolid. Thus, Trius can price tedizolid at $320 a pill (four times Linezolid at its cheapest) and still undercut Pfizer in outpatient costs.
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