Patent cliff: one drugmaker's sorrow is another one's joy

The patent cliff has seen many drug majors lose their exclusivity on blockbuster drugs to generic makers in the past years and this trend is expected to go for some years to come. In 2012 alone, over 40 branded drugs with a $35 billion yearly sales tag have lost patent protection, notes a new posting on the financial web site StockCall.com.

The generic drug industry has been feasting on patent expirations in recent years, and if the start of 2013 is anything to go on, this year could see more of the same. Major branded drug companies have lost exclusivity rights to a number of top selling products, and generic alternatives, as well as customer's pockets, have been the main beneficiaries.

Mylan (Nasdaq: MYL) only recently announced that it is now releasing its generic of Pfizer's Dilantin (phenytoin), tablets after receiving the Food and Drug Administration's seal of approval. Dilantin is given for the control of generalized tonic-clonic (ie, grand mal) and complex partial (ie, psychomotor, temporal lobe) seizures, and prevention and treatment of seizures occurring during or following neurosurgery. According to IMS Health, the 50mg chewable tablet saw US sales of close to $16.5 million for a 12 month period ending September 30, 2012, according to StockCall.