Yesterday, TMT analyst Paul Glenchur and I walked through the current state of affairs at the FTC with respect to anti-trust in the health care sector. Paul thinks, and I agree, that certain risks are underappreciated, especially in the wake of the Amgen/Horizon settlement. Of course, these risks include too much complacency with respect to the PFE/SGEN merger. Other issues we discussed were the first and second order effects of the FTC's threatened action on Pharmacy Benefit Mangers, revisions to merger guidelines that consider market input costs like nurse staffing and more.
You can access the replay here.
CLICK HERE for event details (includes video and materials link
(https://app.hedgeye.com/feed_items/138762?with_category=48-health-policy)
Important timestamps:
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0:00 - 2:18 - Introduction 2:18 - 8:22 - The Lay of the FTC Land (tone, policy changes, merger guidelines, and why judges matter 8:22 - 19:34 - The underappreciated risks of FTC action on Pharmacy Benefit Managers; rebate process as an anti-competitive tool; loss of independent pharmacies 19:34 - 27:16 Anti-trust enforcement of provider mergers; revision of merger guidelines; serial acquisitions, totality of merger activity, implications for inputs like labor and why the AHA cares about ILMN's acquisition of Grail (hint: M & A could be BIG next year!) 27:16 - 32:26 Insurer mergers, current law still applies so watch for share gains 32:26 - 33:57 Recap |
Let one of us know if you have any questions.
Emily Evans
Managing Director – Health Policy
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