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CHICAGOBUSINESS.COM I APRIL 29, 2024

CVS’ cost-cutting impacts Humira’s market share The blockbuster drug managed to hang on to most of its market in the first year of biosimilar competition, but the tide appears to be turning By Katherine Davis

An architect’s rendering of the SoLa complex planned for the Michigan City lakefront. | YAB DEVELOPMENT PARTNERS

This Fulton Market developer is betting big on Michigan City Sterling Bay co-founder Scott Goodman will soon break ground on a 14-story, 680,000-square-foot, $280 million luxury condo, hotel and retail complex on an empty lakefront lot | By Jan Parr

or some 25 years until 2021, Sterling Bay co-founder Scott Goodman had a vacation home in Michiana, near the Indiana and Michigan border. “We would drive though Michigan City and wonder, ‘Why isn’t this a suburb of Chicago the way it should be?’ ” Then several things happened. The South Shore train line added a second track that will cut the

ride to Chicago from Michigan City by at least 30 minutes. Then the pandemic made remote work routine. The local power plant, perched on valuable lakefront land, is slated for decommissioning. Officials announced they are closing the local jail. Suddenly Michigan City was looking like it could become a suburb of Chicago. See MICHIGAN CITY on Page 27

Pharmaceutical giant AbbVie managed to hang on to most of the immunosuppressive drug market in the first year its multiuse drug Humira faced biosimilar competition, but the tide appears to be turning as CVS’ pharmacy benefit manager replaces Humira on its formulary list. A new report from investment banking advisory firm Evercore ISI shows Humira is losing its hold on the market for the immunosuppressive drug adalimumab (for which Humira is a brand name) as lower-cost Humira biosimilars accounted for 36% of all new U.S. adalimumab prescriptions in the week ending April 5, up from just 5% the week before. The swift development stems from changes CVS Health, the vertically integrated pharmacy, health care and insurance company, made to its pharmacy benefit manager, or PBM, formulary, which plays a significant role in which drugs are available to many Americans. As of April 1, CVS’ Caremark unit replaced Humira with biosimilar Hyrimoz on its major national commercial template formularies, which covers around

30 million patients. In just a week, the change led to an “explosion” of new Hyrimoz prescriptions, Evercore ISI analysts wrote in the April 15 report. New Hyrimoz prescriptions grew from just 643 in the week ending March 29 to nearly 8,300 during the first week of April, accounting for about 93% of all new Humira biosimilar prescriptions. “We expect the faster adoption to continue,” the analysts wrote.

Humira, which once represented as much as 30% of AbbVie’s revenue, now faces nine biosimilars. Humira and its competitors treat rheumatoid arthritis, plaque psoriasis and other conditions. Woonsocket, R.I.-based CVS is giving preferential treatment to Hyrimoz, in part, because it coowns the drug. Last year, CVS Health created Cordavis, a wholly owned subsidiary that works directly with manufacturers to commercialize and co-produce See ABBVIE on Page 24

Griffin’s move to Miami leaves Chicago with a philanthropic hole It remains to be seen if the spigot here has been shut off and, if so, who will fill the void By Brandon Dupré

Ken Griffin | BLOOMBERG

Ken Griffin’s move to relocate his hedge fund firm Citadel to Miami has been a big loss for Chicago’s business community — but his departure has also left a hole in the city’s philanthropic sector. While his giving in Illinois to-

tals more than $650 million, including the $130 million he donated to 40 Chicago organizations as he departed for Miami, Griffin’s philanthropic priorities and donations appear to have now shifted to Florida, where his donations now total over $300 million, with the majority of them

landing since his move in 2022. With his philanthropic focus now centered around his new home in Florida, it remains to be seen if the Chicago spigot has been shut off and, if so, who will fill the void. “When a donor of (Griffin’s) scale leaves, there is no doubt a big

hole that is created by their absence,” said Michael Moody, a professor of philanthropic studies at Indiana University’s Lilly Family School of Philanthropy. “Both in terms of money and leadership.” The scale of Griffin’s Illinois See GRIFFIN on Page 27

AGRICULTURE Farmers have clamored for the Right to Repair for years. It’s getting little traction in Illinois. PAGE 2

NOTABLE

These leaders in sustainability aim to help make our world greener. PAGE 13