After several years of declining revenues, top generic drug maker Teva Pharmaceuticals will turn to high-priced biotech medications in an effort to jumpstart growth, The Wall Street Journal reports.
Teva, which supplies more than 10 percent of drugs taken in the U.S., recently has struggled financially because of declining generics prices and heavy debt. The drugmaker cut thousands of jobs and made cuts at research facilities to save on expenses. Now it's turning to biotech drugs to spark revenue growth.
Teva said it will continue to make generic drugs, but it will begin to shift more of its research and development focus to innovative biologics and biosimilar drugs, which only make up a small portion of its revenue now. The drugmaker said it envisions biologics making up about half of its sales in the future.
Biologic drugs use living cells to target diseases and ailments. Biosimilars are essentially a copycat version of the biologic drug. The market is expected to grow exponentially by 2025.
Read the full report here.