US pharmaceutical company defends 5,000% price increase

The head of a US pharmaceutical company has defended his company’s decision to raise the price of a 62-year-old medication used by Aids patients by over 5,000%.

Turing Pharmaceuticals acquired the rights to Daraprim in August.

CEO Martin Shkreli has said that the company will use the money it makes from sales to research new treatments.

The drug is used treat toxoplasmosis, a parasitic affliction that affects people with compromised immune systems,according to BBC.

After Turing’s acquisition, a dose of Daraprim in the US increased

“We needed to turn a profit on this drug,” Mr Shkreli told Bloomberg TV. “The companies before us were just giving it away almost.”

‘Cost is unjustifiable’

The Infectious Diseases Society of America, the HIV Medicine Association and other health care providers wrote an open letter to Turning, urging the company to reconsider.

“This cost is unjustifiable for the patients whom need of this medication and unsustainable for the health care system,” the groups wrote.

Dr Wendy Armstrong of HIV Medicine Association also disputed the need to develop new treatments for toxoplasmosis.

On Wall Street, biotech shares fell sharply after Democratic presidential candidate Hillary Clinton pledged to take action against firms hiking prices for specialty drugs.

“Price gouging like this in the specialty drug market is outrageous,” Mrs Clinton said, citing Daraprim.

H.Z