Washington: Finally, Genentech Inc has settled a dispute with doctors over the use of cancer drug Avastin, instead of the more expensive Lucentis, which is used for age-related macular degeneration (AMD), the leading cause of blindness among adults.

Eye specialists have been substituting the drug for Lucentis to save money. The price-per-dose of Avastin is about 40 to 50 times cheaper than Lucentis that costs $2000.  

But it is not good for the Genentech and its investors.

Lucentis is hoped for growth driver for Genentech with revenue of about $200 million in the third-quarter, but now sales have been hindered by Avastin’s use for AMD.

Few months back, Genentech said it would take steps to stop the practice at the end of November, but not it has taken the New Year’s Day.

Genentech cautions that Avastin has not been clinically proven safe and effective for AMD. Federal government is paying for an Avastin vs. Lucentis study.

American Academy of Opthalmology and the American Society of Retina Specialists have put out a press release addressing the compromise solution “a significant step forward.”

Genentech and two eye specialists’ groups have settled to deal whereby doctors can buy Avastin from wholesale pharmacies, which will ship Avastin to compounding pharmacies.  

Company spokeswoman, Krystal Pellegrino said that issues associated to sterilization at a compounding pharmacy processing Avastin and concerns by U.S. regulators related to a Genentech manufacturing plant were among factors that led it to stop selling to compounding pharmacies.

Pellegrino said, “We’re trying to abide by all the regulations and the spirit of the law while at the same time recognizing” that doctors seek access to Avastin for eye use.

Siobhan Bunaes said Genentech assured the group it would not raise the price of Avastin.