Like a ton of bricks

Like a ton of bricks

Now that we know that the Sanofi (NYSE:SNY) vision does not include Afrezza and it’s looking more likely that they will terminate their partnership with MannKind (NASADQ: MNKD) speculation has already begun as to what will happen to MannKind and Afrezza. Given that shares of MannKind will fall even further when this news becomes official many believe another company will step in and buy MannKind. The question is who. The second question is will it make any difference.

There is no need to rehash the many issues facing Afrezza as they have been well documented. Which begs the question if Sanofi couldn’t make this work who can. While it’s true that Sanofi has the reverse Midas touch when it comes to anything in diabetes, the failure of Afrezza cannot be completely attributed to their ineptitude. Frankly Diabetic Investor believes that even a well-run company would have had problems with Afrezza.

Keep in mind that nearly every major player in diabetes looked at and then passed on partnering with MannKind. Lilly (NYSE:LLY) and Novo Nordisk (NYSE:NVO) both sniffed around, didn’t like the smell and passed making it very unlikely they would have any renewed interest now. We also don’t see AstraZeneca (NYSE:AZN) being interested given the issues they are having with their diabetes franchise. Nor do we see Johnson and Johnson (NYSE:JNJ), Merck (NYSE:MRK) or GlaxoSmithKline (NYSE:GSK) having much interest.

Who then would be stupid enough, excuse us, crazy enough to throw good money into a product that has proven to be a commercial failure. Honestly we’re not sure if it’s even worth the effort to speculate on the future of Afrezza and MannKind. Even if someone came along and bought MannKind for pennies on the dollar this does nothing to solve the financial issues facing Afrezza. This won’t improve formulary position, it won’t lower the cost to make Afrezza and it won’t change the need for additional tests. Most of all it won’t change the fact that Afrezza is not better than existing injectable insulins which just happen to be much cheaper than Afrezza.

All along Diabetic Investor has said that there is a place for Afrezza in the treatment paradigm. We have never disputed that the drug works. The problem has never been the therapeutic benefits of Afrezza, the problem has always been the commercial aspects of Afrezza. Commercial aspects that won’t change no matter who owns the drug.

For the sake of the patients using Afrezza we do hope someone does come along.  At minimum we would hope that Sanofi would have the decency to support these patients until either a buyer does come along or these patients go back to injectable insulin. Let’s be honest here given MannKind’s precarious financial situation it’s highly unlikely they would survive long without a partner.

To illustrate just how bad this situation has become many of the diehard MannKind/Afrezza zealots on Twitter are beginning to realize the situation is desperate. That heaven forbid Diabetic Investor was right. Yes there are still a few who are holding out hope but there numbers like Afrezza sales ae dwindling. Reality is hitting these people like a ton of bricks… not like we feel sorry for them. As Momma Kliff used to say “Never feel sorry when stupid people do stupid things they just can’t help themselves they are after all handicapped by stupidity.”