UTRECHT, Nov. 09, 2018 (PENNYSTOCKS.NEWS) – D.J. Behouden — The powerful and magical world of pharmaceutical products. The pills that take away our coughs and colds and many, many more. It’s a tough market for any entrepeneur and it seems that without branded, generic pharmaceutical products none stand a chance. Luckily for investors, brave newcomers pop up all the time and investors are always on the look-out for new products that could potentially cure diseases such as Parkinson, Huntington, Alzheimer. Investing in products ment to help humanity feels noble, right? In any case, it can’t hurt to take a dive in the ‘Neurodegenerative Disease Treatment Market’.
First of, what is a neurodegenerative disease? A neurodegenerative disease is a group of diseases or conditions that affect neurons in human brains. According to the National Institute of Environmental Health Sciences, Alzheimer’s and Parkinson’s are the common types of neurodegenerative diseases. Unfortanutely, The Alzheimer’s Association states that around 5 million US citizens have been living with Alzheimer’s disease, as of 2016. Alzheimer is the sixth leading cause of death in the US. These diseases are considered to be passed down genetically. Scientific study indicates that transfer of dominant genes is responsible for 5% of Alzheimer’s disease. Similar, the Huntington disease shows a dominant pattern of genetic passing. It is important to mention that despite scientific research, the exact cause of these diseases remain unclear.
‘The Neurodegenerative Disease Treatment Market’
So, what is going on in this market? Keyplayers in the ‘Neurodegenerative Disease Treatment Market’ include: Neuro-Hitec Inc., Teva Pharmaceutical Industries Ltd., QR Pharma Inc., Biogen, Pfizer Inc. and a wide variety of others. Turns out it is a big market where every company is desperately trying to come up with the next best thing and history has shown that eventually, someone will . An analyst at GBI Research, Qaisrah Khalid, said: ‘’There is a large pharmaceutical pipeline for neurodegenerative disorders, consisting of approximately 1,494 products in active development. The majority of pipeline products are novel active pharmaceutical ingredients, with only a small proportion of products being either generics, or repositioned from other indications.’’ With so many different businesses and products in development it is interesting to see how mergers and acquisitions by market players will boost the neurodegenerative disease treatment market growth. For example, Alexion Pharmaceuticals Inc. merged with Complement Pharma in June, 2018. Partnering with the Netherlands-based biotech company to develop products that have the potential to treat a variety of central nervous system disorders.
Interesting to see is that the neurodegenerative market is facing multiple patent expiries. This is opening doors for new players, offering low priced products to enter the market. And as a result causing a loss in revenu for major key players. Expectations are that this little cause-and-effect will slow down the growth of the neurodegenerative market. Globally however, North America is expected to gain the dominant position in the global market of neurodegenerative disease treatment. As mentioned before, mergers and acquisitions have the potential to boost the neurodegenerative market growth. Due to strategic mergers and acquisitions of key players in the market, Abbvie Inc. a biopharmaceutical company and Voyager Therapeutics a gene therapy developing company, possibilities are created for the neurodegenerative market to grow.
Other factors that support the expectation of market growth are the increasing global population and average lifespan. These circumstances give rise to the development of neurological disorders, thus, increasing the popularity of treatments and therefore contributing to the growth of the neurodegenerative disease treatment market. This rise in prevalence, strong infrastructure and the focus on research and development of new treatment methods are being anticipated to further enhance the market growth.
Still, it is a complex market and in the current day multiple continents are experiencing different growths. Asia-pacific is projected to have the fastest growth due to increasing population, modernized healthcare infrastructures and favorable government policies. Also, the neurodegenerative market can be split in different segments based on indication, treatment type and region. Active in five international regions, the market represents a broad field. In terms of revenu North America is expected to position dominantly on the market. Well-established health care infrastructure in the region, strong focus on research and development and a growing awareness among the people about available treatment are contributing to the growth of the market.
Pharmaceutical company’s who focus on developing, marketing and distributing branded and innovative pharmaceutical products like Neuro-Hitech Inc. (NHPI) seem to benefit from the expiring patents, mainly attributed to their low-cost products and strategically stationed in North America. Pharmaceutical wonderfactories like Neuro-Hitech Inc. sell products for minor inconveniences like pain management, prenatal and cough and cold. Buyers are general practices, pediatrics, family practices, distributors, wholesalers and chain pharmacies.
A sunny forecast?
According to the previously mentioned business intelligence provider GBI Research, the neurodegenerative disease treatment market is set to grow from $27,2 billion in 2015, to $45 billion by 2022, with an annual growth of 7,42%. The company stated that a large part of this growth is expected to occur between 2018 and 2022, due to the approval of pipeline products during these years. In the late stage, products are expected to be highly commercially succesful. Despite the fact that many patents are at their expiry date, GBI Research stated that several key market players, such as Biogen, Sanofi and Novartis are expected to hold strong market shares throughout this market growth forecast. However, due to patent expiry, the revenues of high-selling products are vulnerable to substantial decreases. Baring the consequence to potentially drop the neurodegenerative disease treatment market shares. Any investor who wishes a superhuman society and boldly wants to explore a lottery hoping to find the golden ticket, the neurodegenerative disease treatment market is the place to be.
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