Martin Shkreli, CEO of Turing Pharmaceuticals, announced on Tuesday, Sept. 22 that there will be a rollback in the price of live-saving Daraprim, which is used for the treatment of toxoplasmosis or parasitic infections, usually associated with AIDS.
The move comes after it increased the price of Daraprim from $13.50 to $750 per tablet. This 5,000 percent price hike drew massive outrage from the public. Although the new price of the drug has not yet been revealed, Shkreli said the changes will be implemented in the coming weeks.
Presidential candidates and political leaders have also expressed disagreement over the price hike.
Sen. Bernie Sanders, a Democratic presidential candidate from Vermont, and Rep. Elijah Cummings of Maryland, have asked Shkreli and Turing to reconsider their actions. The two political figures were said to have sent a letter to the pharmaceutical company, calling the activity the most recent inclusion on the list of price hikes involved in several essential drugs.
Hillary Clinton, who is also running for president under the Democratic party, has also expressed her disapproval of the medicine price increase, dubbing it "price gouging."
Cutting back the price of Daraprim was due to the reactions received by the company, Shkreli admitted. It was a response to the anger expressed by the public.
"Yes it is absolutely a reaction—there were mistakes made with respect to helping people understand why we took this action, I think that it makes sense to lower the price in response to the anger that was felt by people," he said.
Shkreli shared that seeing massive price hikes and regarding them as "gouging" were very easy.
"But when you find out that the company is not really making any money, what does that mean?" he added. "It's very hard stuff to understand."
The reason for the Daraprim price hike was to use the profits for developing better treatment for toxoplasmosis, in the hope of causing fewer side effects. If small companies will not profit, medicines like Daraprim will not be made available, Shkreli argued.
In August, Turing bought the rights of Daraprim from Impax Laboratories for $55 million and has since imposed a grand price hike.
