Sparsentan is a small molecule commercialized by Travere Therapeutics, with a leading Pre-Registration program in IgA Nephropathy (Berger’s Disease). According to Globaldata, it is involved in 12 clinical trials, of which 7 were completed, and 5 are ongoing. GlobalData uses proprietary data and analytics to provide a complete picture of Sparsentan’s valuation in its risk-adjusted NPV model (rNPV). Buy the model here.
The revenue for Sparsentan is expected to reach an annual total of $712 mn by 2032 in the US based off GlobalData’s Expiry Model. The drug’s revenue forecasts along with estimated costs are used to measure the value of an investment opportunity in that drug, otherwise known as net present value (NPV). Applying the drug’s phase transition success rate to remaining R&D costs and likelihood of approval (LoA) to sales related costs provides a risk-adjusted NPV model (rNPV). The rNPV model is a more conservative valuation measure that accounts for the risk of a drug in clinical development failing to progress.
Sparsentan (RE-021, PS-433540) is under development for the treatment of immunoglobulin A vasculitis (IgAV), ANCA-associated Vasculitis, alport syndrome (AS), focal segmental glomerulosclerosis and IgA nephropathy (Berger's disease). It is administered by the oral route.RE-021 is a dual-acting receptor antagonist (DARA) that targets the angiotensin II receptor type 1 (AGTR1) and endothelin A receptor (ETA). It was also under development for the treatment of hypertension, metabolic disease.
Travere Therapeutics Overview
Travere Therapeutics, formerly Retrophin, is a biopharmaceutical company that discovers, develops, acquires, and markets drugs for the treatment of rare diseases. The company’s products include thiola, chenodal and cholbam. It develops drugs for therapies to people living with rare kidney, liver, and metabolic diseases. Travere Therapeutics pipeline products include sparsentan, used for the treatment of focal segmental glomerulosclerosis; RE-024, a product candidate to treat pantothenate kinase-associated neurodegeneration and RE-034, utilized for the treatment of severe rare diseases. The company markets its products through its distribution partners. It works in partnership with academia and independent researchers to support the development of novel solutions. Travere Therapeutics is headquartered in San Diego, California, the US.
The company reported revenues of (US Dollars) US$227.5 million for the fiscal year ended December 2021 (FY2021), an increase of 14.7% over FY2020. The operating loss of the company was US$161.8 million in FY2021, compared to an operating loss of US$176.2 million in FY2020. The net loss of the company was US$180.1 million in FY2021, compared to a net loss of US$169.4 million in FY2020. The company reported revenues of US$53.5 million for the third quarter ended September 2022, a decrease of 1.2% over the previous quarter.
For a complete picture of Sparsentan’s valuation, buy the drug’s risk-adjusted NPV model (rNPV) here.