Inceptua Q&A: What is Early Access?

What is early access and unlicensed access to medicines?

Typically, there are three ways in which patients can get access to a medicine; through a clinical trial, when it is commercially available, or via a early access / unlicensed medicines access program. The terms ‘early access’ and ‘unlicensed medicines access’ refer to the regulatory mechanisms which allows a drug manufacturer (pharmaceutical company or biotech company) to make a medicine available to patients, in a country where it is not formally approved or commercially available and where there are no accessible clinical trials or suitable alternative treatments.

early access / unlicensed medicines access is known by a variety of other terms, such as; expanded access, pre-approval access, compassionate use, named patient program, managed access program etc.. Some of these terms are specific to a particular country (see table below), but often they are used interchangeably by people and companies alike, resulting in confusion (e.g. the perception that ‘compassionate use’ must mean free-of-charge provision of a medicine). For these reasons, Inceptua prefers to utilize the umbrella term ‘early access’.

Why is there early access / unlicensed medicines?

Early access and unlicensed medicines access really began in earnest during the HIV epidemic in the 1980’s. At that point the USA FDA put in place structures to support patients seeking access to medicines prior to their approval. Since then, the majority of countries have adopted such approaches.

The focus on early access / unlicensed medicines access has increased in recent years as company pipelines are skewed towards those disease areas of high unmet need (e.g. rare diseases and oncology) which often see demand for access long before commercial availability. This, combined with a much greater ability to access information about products under development, has driven demand for companies to put such programs in place.

Most countries passed laws to allow their citizens to gain access to medicines which are not available in their country, on the basis that patients in need should not be disadvantaged in their ability to access a medicine which may help them.

The reasons why these medicines might not be available in a country include; a drug shortage (where a drug producer cannot manufacture enough drug to supply all the patients who need it), the drug is still undergoing clinical development and is not yet approved in any country, or the drug is not ‘approved or available’ in the patient’s specific country (perhaps because the drug manufacturer does not think it is commercially-viable to launch the drug in that country e.g. if there are very few patients who need the drug), or the drug is not yet approved in that country.

This latter scenario is common. Pharmaceutical companies and biotech companies do not launch their medicines in all countries at the same time, for practical and financial reasons. This means that there is a staggered launch of a new medicine, perhaps taking several years before it is available in all countries where it will be sold. In this situation, the drug manufacturer may decide to put in place a ‘pre-approval / unlicensed medicines access program’ to allow patients in all countries in question to access the medicine at the same time, whilst the manufacturer goes through the long process of making it formally available for use/sale in each country

Is early access / unlicensed access ethical?

Yes. Formal early access / unlicensed medicines access to a medicine is highly ethical, and is regulated by the appropriate authorities in each country. Additionally, it is conducted either directly by the pharmaceutical / biotech company themselves, or in partnership with a specialist organization. This ensures that the medicine is being made available according to the appropriate laws and regulations in each country.

Many people would argue that allowing patients to access a medicine that they would otherwise not be able to, is ethical in itself.

Over the last 10 years there have been many developments in terms of the regulations underpinning early access / unlicensed medicines access. The majority of these developments have been positive, and intended to simplify the process for physicians and patients. Early access / unlicensed medicines access is viewed as an important method of access outside of the commercial supply route and the clinical trial route

Are there any restrictions around early access / unlicensed medicines access?

As a base case, there are no ‘restrictions’ around early access / unlicensed medicines access. So long as the regulations are followed, the regulators generally allow doctors to prescribe any medicine which in their ‘clinical judgement’ may benefit a patient. The regulators do not normally contest the doctor’s decision to prescribe. Although they may want to see some quality, safety or efficacy data prior to allowing the medicine to be imported and prescribed for a specific patient.

Some country regulations place some form of stipulation on the manufacturer of the drug if they make it available pre-approval. Such stipulations can include; a requirement to submit regular safety reports to the regulatory agency in the country where the medicine is used.

Does a company have to allow early access / unlicensed medicines access?

No. A company is not obligated to allow early access / unlicensed medicines access to any of its medicines. The 21st Century Cures Act of the USA mandates that pharmaceutical companies must have a public statement on their website about their approach to early access / unlicensed medicines access. Although this is not a requirement outside of the US, it could be argued that such statements should be the norm, as they allow patients and physicians to understand if a medicine is available pre-approval, and also to understand the reasons why, if it is not.

Considering an access program for your asset? Ask Inceptua!

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BIO

CEO and Board Member

Stefan Fraenkel

Stefan Fraenkel is the CEO of the Inceptua Group and is also on the Inceptua Board. He has extensive experience in the pharmaceutical industry. Before joining Inceptua, he held senior management positions at Sobi (Swedish Orphan Biovitrum), Sweden’s largest publicly listed specialty pharmaceutical company, leading Marketing & Sales and serving as Head of Corporate Development and Strategy.

Previously, Stefan worked at Pfizer and Wyeth in international commercial leadership roles across Europe and the USA, gaining deep insights into global pharmaceutical markets and strategies. Stefan has also spent part of his career in management consulting. Stefan holds a PhD in International Economics, an MBA, and a BSc in Engineering.

BIO

Member of the Board

Chris Hasslinger

Chris Hasslinger is a Partner of Vesey Street Capital Partners and serves as a member of the Firm’s Investment Committee. He joined VSCP in 2023 and is responsible for sourcing and evaluating new investment opportunities and general portfolio company management. Mr. Hasslinger has nearly three decades of experience in healthcare and technology strategy and deal-making within the industry as well as in investment banking and private equity. He has extensive M&A experience, having closed over $20 billion in transaction value, and has established and structured a number of large commercial partnerships.

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Executive Vice Chairman

Alan Raffensperger

Alan Raffensperger has a robust leadership background in the pharmaceutical industry, having served as CEO of Inceptua and COO of Sobi (Swedish Orphan Biovitrum), along with significant international executive roles at Amgen, Roche, and Pharmacia.

He has also been CEO for venture capital-owned medical device companies, showcasing his versatility in healthcare leadership. Alan’s early career as an advanced life support paramedic provided a strong foundation in emergency healthcare.

He holds an MBA and a BA in Emergency Health Care Management.

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Member of the Board

Blake Goodner

Blake Goodner is a founder member of the investment firm Bridger Capital. He previously worked as a healthcare analyst at Tiger Management and a healthcare investment banker at Morgan Stanley. He currently serves as an advisor and board member for a range of healthcare companies. Mr. Goodner has been a member of the Trinity College Board of Visitors and the Duke Annual Fund Executive Committee. He is a current advisory board member with The Duke Margolis-Center for Health Policy.

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Member of the Board

Adam Feinstein

Adam Feinstein is the Managing Partner of Vesey Street Capital Partners. Mr. Feinstein has 30 years of investment experience exclusively in the healthcare services sector. Prior to founding Vesey Street Capital Partners in 2014, he was a Managing Director on Wall Street and a healthcare industry executive. He held the position of Senior Vice President of Corporate Development, Strategic Investments, and Office of the Chief Executive Officer at LabCorp. Before his tenure at LabCorp, he spent 14 years as the Managing Director in Equity Research at Lehman Brothers/Barclays Capital. Mr. Feinstein is the Chairman of VSCP’s investment committee. He is also actively involved in working with portfolio company executives and sourcing new investment opportunities. At the same time, he oversees all of the firm’s investment activities and employees.

BIO

Member of the Board

Larry Marsh

Larry is a General Partner of Vesey Street Capital Partners and serves as a member of the Firm’s Investment Committee. He joined VSCP in 2016, and currently sits on the Board of QualityMetric, Safecor Health, and HRGi. He is responsible for portfolio company management and for evaluating new investment opportunities. Prior to VSCP, Larry was EVP, New Market Development & Chief Strategy Officer at Fortune 10 AmerisourceBergen. Prior to that, Larry was the #1 ranked Healthcare Technology & Distribution analyst on Wall Street for over a decade, at Barclays, Lehman Brothers, Salomon Smith Barney, and Wheat First Butcher & Singer. Larry worked with Adam, Bryan, Dan, and Joe at Barclays and Lehman. Larry received a B.S. in Economics & Management as well as an M.B.A. from the University of Richmond, and an M.P.H. from Columbia University.

BIO

Member of the Board

Heyward Donigan

Heyward Donigan is a seasoned healthcare CEO, Board Member, and Private Equity Advisor with broad industry experience and a track record of profitable growth. From 2019 to 2023, Ms. Donigan served as Rite Aid’s president and chief executive officer, making her one of the few women CEOs of a Fortune 500 company. While at Rite Aid, Ms. Donigan led the company to through a major brand, merchandise and technology transformation, debt reduction/refinancing, while also leading the company through a pandemic. Ms.Donigan is currently a strategic advisor to Vesey Street Capital Partners, Arima Health, and a board member of OnMed.

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Executive Chairman

Doug Cook

Doug Cook is the Executive Chairman at Inceptua. Mr. Cook began his career driving the early success of Livingston Healthcare, leading to the purchase by UPS to become what is today UPS’s Global Healthcare business. After Livingston Healthcare, Mr. Cook moved to AmerisourceBergen (now called Cencora/COR) in 1998 and had an impressive career overseeing most of Cencora’s high growth, manufacturer-facing business. Mr. Cook ultimately served as the Executive Vice President, President Commercialization and Animal Health for COR.

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