The company that could end chronic pain and the opioid crisis

Note: This extract was taken from Livewire Live 2024’s panel: 'The Good, the bad and the ugly' filmed 17 September 2024.

The biotech industry is a constant marvel, generating innovations to change our lives. As Plato Investment Management’s Dr David Allen pointed out at last year’s Livewire Live, Ozempic has changed the face of the obesity epidemic. 

At this year's event, on a panel called 'The Good, the Bad and the Ugly', Allen tipped a company that has already conquered cystic fibrosis and is poised to end chronic pain. But there’s more to it than just a positive treatment.

Changing the face of chronic pain management could also be a game-changer in the opioid crisis. The Lancet Regional Health – Americas estimates that 60 million people struggle with the addictive effects of opioids, and more than 100,000 die from opioid overdose each year.

Vertex Pharmaceuticals (NASDAQ: VRTX) is set for significant success in this space.

As Allen points out, Vertex has already had extraordinary success, with its treatment for cystic fibrosis extending the lifespan for patients from only 29 in 2005, to into their 60's today. It has just passed phase 3 trials for VX-548 to treat chronic pain and is expected, according to Allen, to receive FDA approval and be on the market in 2025.

“Rather than dealing with pain at the central nervous system level, like an opioid does, it attacks it at the peripheral nerve endings and has been shown in trials to be almost as effective as opioids but entirely non-addictive, non-habit forming,” he says.

To find out more about Allen’s views as well as where he sees market concerns, you can watch the full panel here.