Xywav set to become Jazz's next blockbuster in the narcolepsy market, says analyst

The Food and Drug Administration recently approved a new indication for Jazz Pharmaceuticals’ (Nasdaq: JAZZ) Xywav (calcium, magnesium, potassium, and sodium oxybates) oral solution for the treatment of patients with idiopathic hypersomnia (IH), a rare neurologic disorder that can result in daytime sleepiness despite having a prolonged night sleep.

The expanded use of Xywav in IH will further bolster the drug’s position ahead of the competition and help Jazz hold its lead in the narcolepsy market, says data and analytics company GlobalData.

“Jazz is expected to undertake a switching strategy from Xyrem to its new brand Xywav, in order to offset Xyrem’s sales decline due to generics erosion as the brand approaches the loss of patent exclusivity in 2023,” commented GlobalData’s neurology analyst Sarah Elsayed, adding: “Since Xywav’s first approval in July 2020 in narcolepsy, its uptake in the US has soared, driven mainly by the favorable safety profile of its lower sodium reformulation compared to its predecessor, Xyrem. Given Xywav’s strong clinical and commercial profile, GlobalData expects its exponential growth trajectory to continue into 2027 reaching $1.3 billion in global sales.”