KEI statement regarding Gilead’s Acquisition of Kite Pharma

KEI statement regarding Gilead’s Acquisition of Kite Pharma.

“Congress should require the NIH to enforce the Bayh-Dole obligation to make the Kite Pharma Chimeric Antigen Receptors Technologies (CAR T) treatments available to the public on reasonable terms.

KEI notes that Kite reported spending $317 million in R&D from 2012 to June 30, 2017, and is selling the company for $11.9 billion.

The NIH should explain (1) why it told the New York Times that it would ignore the Bayh-Dole requirements on reasonable pricing in 2016, (2) whether or not this statement drove up the price for Gilead to acquire Kite, and (3) when Gilead cites the high cost of the acquisition to justify high prices for the treatment, whether the NIH policy needs to change.

The NIH should provide details of the royalties it has received from Kite, and the details of the royalty payments to the NIH going forward.

KEI will also ask Gilead to license all of the patents held by Kite to the Medicines Patent Pool to expand access in developing countries.”

James Love, Director, KEI

For more information, contact: Kim Treanor kim.treanor@keionline.org or 202-332-2670

For past KEI comments and coverage of Kite Pharma, see:

• “Kite Pharma Press Releases & News Stories Related to Relationship with National Cancer Institute“
• “Front page New York Times story explores Kite Pharma’s profitable relationship with NIH regarding expensive cancer drug“
• “Kite Pharma Uses CRADAs to Conduct Important Clinical Research on New Cancer Treatments“
• “2016: KEI Comments on NIH Proposed Exclusive License to Kite Pharma for Cancer Treatment“

For KEI comments to proposed NIH exclusive licenses regarding other companies’ CAR T technologies, see:

• “2016: KEI comments on NIH proposal for exclusive licenses to Dedalus Pharma, LLC “
• “2016: KEI comments on NIH proposal for exclusive licenses to Lentigen Technology, Inc. ”