Bayer boasts four potential pipeline blockbusters

German drugs and crop and material sciences group Bayer (BAT: DE) said yesterday that it plans to continue investing heavily in R&D and expects its Pharmaceuticals business in particular to generate substantial sales with the new products that are scheduled to be launched in the next 18 months, which could potentially add some $6.5 billion to the company’s revenues.

"We have achieved major progress with our Pharma pipeline in 2011 and are therefore lifting our sales forecasts for several products," said Bayer chief executive Marijn Dekkers, adding: "Overall, we believe that four of the drug products currently in advanced development have the potential to become blockbusters, meaning that each of these products can generate peak sales of 1 billion euros [$1.3 billion] per year and more."

They include the ophthalmological substance VEGF Trap-Eye and the cancer treatments Alpharadin (radium-223 chloride) and regorafenib. In the case of the thrombosis drug Xarelto (rivaroxaban), Bayer continues to expect peak sales of more than 2 billion euros per year following the granting of regulatory approval by the European Commission in the new indications this week (The Pharma Letter December 20). Assuming that relevant authorizations are obtained, the combined annual peak sales potential of these products will therefore amount to a total of 5 billion euros.