Pancreatic Cancer Drug RASOCU Priced Far Above Expectations, Poised to Become a Blockbuster

The monthly list price for RASOCU, a pancreatic cancer treatment launched by U.S. drugmaker Revolution Medicines, far exceeded market expectations, prompting analysts to raise their sales forecasts.

According to BioPharma Dive on the 27th (local time), Revolution Medicines set the list price for a 30-day supply of RASOCU at $39,800 (about 55.7 million won). That is well above the $25,000-$30,000 some analysts had expected.

Its annual wholesale acquisition cost exceeds $477,000, more than twice the list price of Merck’s Keytruda, the world’s top-selling cancer drug.

Citing the price and promising indications, Evercore ISI analysts raised their forecast for RASOCU’s pancreatic cancer sales to $2.4 billion next year and $15.1 billion in 2034. Evercore expects RASOCU to win approval for other cancer types as well, reaching peak annual sales of $20.8 billion.

Evercore analyst Cory Kasimov said in a client note, “RASOCU has the makings of one of the fastest oncology drug launches in history.” In a second note after the company’s conference call, he added that the launch would be “transformative and historic” and that “the label and pricing information have strengthened our conviction.”

The U.S. Food and Drug Administration (FDA) approved RASOCU for patients with metastatic pancreatic adenocarcinoma who have received one prior systemic therapy or are not candidates for “combination systemic therapy.” Analysts said the “or” in the condition gives physicians flexibility to use it as a first-line treatment.

Leonid Timashev, an analyst at RBC Capital Markets, said some insurers may restrict first-line use because of the cost, but he expects overall friction to be limited because many patients have no alternatives. He also said Revolution is likely to secure first-line approval quickly.

Immediately after FDA approval, Revolution launched the once-daily pill and established a program called “(ON)PASS” to help patients with insurance coverage, financial assistance and side-effect management.

RASOCU is regarded as a scientific and medical breakthrough that reached a target once considered undruggable and extended survival for patients with deadly tumors. The FDA approved the drug just over a month after Revolution completed its application, and an agency official said in a press release that the results were “unprecedented.”

The drug has significant side effects, but physicians and patients are focused on its ability to attack tumors and extend survival. Former U.S. Sen. Ben Sasse, a Nebraska Republican, also told The New York Times that he had experienced RASOCU’s effects.