Ken Cacciatore

Ken Cacciatore of Cowen & Company asked for commentary on the Street's 2022 NURTEC revenue estimates of around $850 million, inquired if the Q4 expense run rate is a good proxy for the upcoming year, and questioned the strategic balance between pipeline investment and a potential company sale or split.

Answer

CFO Matthew Buten stated that Biohaven does not provide guidance and expects modest expense increases due to new asset acquisitions. CEO Vlad Coric added that the current spending is appropriate for NURTEC's potential as a multi-billion dollar drug and that the new, derisked pipeline assets strengthen the company for either organic growth or potential M&A activity, confirming all options remain open.

Ken Cacciatore from Cowen and Company asked about the strategic rationale for the Pfizer collaboration, questioning why it was a regional partnership rather than a full acquisition of Biohaven.

Answer

CEO Dr. Vlad Coric explained that the deal represents a superior long-term structure for Biohaven. He stated that it preserves all U.S. market optionality while leveraging a top-tier partner to accelerate and increase ex-U.S. revenue. Dr. Coric highlighted that the agreement provides essential capital, including a premium equity purchase, which establishes a strong foundation for future growth without forgoing the full value of the U.S. market.

Ken Cacciatore of Cowen and Company asked about the value per prescription for NURTEC ODT, payer access for the prevention indication, and the company's strategy and timeline for ex-U.S. commercialization.

Answer

CEO Vlad Coric deferred on specific value-per-Rx guidance. CFO Jim Engelhart noted favorable gross-to-net price realization in Q2 but cautioned about future volatility during the launch phase. CCO BJ Jones reported positive payer discussions for the prevention label, with current criteria similar to mAbs. Dr. Coric stated that ex-U.S. commercialization plans are in a "decision-making mode" with updates to follow.

Ken Cacciatore from Cowen and Company asked about the rationale for continuing to fund the marketing of the minocycline franchise while simultaneously seeking to divest it, and requested context on the potential timing for monetizing these assets.

Answer

President & CEO Dave Domzalski stated that the company believes the franchise holds significant value for a partner with greater resources. He explained that maintaining basic support, including the sales force, for a finite period is prudent as a potential partner may want the existing infrastructure. He clarified that spending will be reduced ratably through year-end, with operating expenses expected to be cut in half to approximately $10 million per quarter starting in 2022.

Ken Cacciatore questioned the timeline for ZILXI to achieve managed care coverage similar to AMZEEQ, whether its net pricing would align with AMZEEQ's $200-$250 range, and sought validation for his breakeven calculation of ~8,500 weekly scripts, asking about potential debt financing options.

Answer

CCO Matthew Wiley expressed optimism that ZILXI's payer coverage could be secured more quickly than AMZEEQ's. CFO Andrew Saik confirmed the breakeven math was 'not far off' and that the company aims for price parity between ZILXI and AMZEEQ to ensure on-indication prescribing. However, he did not provide a specific timeline for reaching breakeven.