Who’s Profiting From Demand for Plan B?

admin June 28, 2022

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Men benefiting from Plan B demand

Since the Supreme Court overturned the Roe v. Wade case, many women have taken emergency contraceptives because they expect more control over their bodies or are worried that their products may be restricted. I’m in a hurry to buy it. (Contraception continues to be legal throughout the United States.) Drugstores have noticed a shortage of pills and have restricted their purchases.

Increased demand can bring enormous benefits to the two private equity companies behind Plan B, the most famous emergency contraceptive. It is also possible to put Plan B in the midst of an abortion dispute.

All male teams of investors behind Plan B are ready to make a fortune.. According to the websites of two private equity companies Kelso When JuggernautOnly men make up the team that oversees the makers of the best-selling emergency contraceptives in the United States. And their payday can be big. One dose of the brand name Plan B usually sells for about $ 46. According to former analyst David Woodburn, who was in charge of the company, the profit margin when Bar sold it as a prescription drug was over 85%. (Neither company responded to DealBook’s request for comment on the gender structure of the team.)

The manufacturer of Plan B had exclusive sales rights for 3 years After the FDA expanded the use of over-the-counter medicines to all age groups in 2013. Its exclusivity plays a big role in how famous the brand is. While brands compete with cheaper generics, analysts say women often prefer familiar brands of health products such as emergency contraceptives. Teva, which acquired Barr, sold Plan B to Kelso and Juggernaut for $ 675 million in 2017. Both companies are implementing Plan B through Foundation Consumer Healthcare, which owns several commercial brands, including the cold remedy Dimetapp.

The wording of emergency pill packages may pave the way for that limitation.. Plan B works primarily by stopping the release of eggs from the ovaries.However Some believe that the manufacturer had to use a particular wording To get it Approved by the FDA For use in stores in 2006. Therefore, the Plan B label states that it may prevent fertilized embryos from adhering to the uterus. This distinction is important because some states claim that fertilized embryos are human and may create grounds for banning Plan B. To prevent that, Foundation Consumers and their owners can request an updated label from the FDA, which could put businesses in the midst of a political cross that they probably want to avoid.

What’s happening

Ernst & Young has been fined $ 100 million for exam fraud. The SEC has imposed the greatest fines on audit firms after discovering that some auditors have cheated in ethics tests. Grubir Grewar, Executive Director of the Commission, said:

A group of seven leaders agree to seek a price cap for Russian oil. Russia’s oil revenues are still high, so G7 officials have agreed to a temporary move as a way to slow down President Vladimir Putin’s war machinery. The group also promises to spend $ 4.5 billion this year to counter the global food shortage caused by the invasion of Ukraine.

At least 46 migrants were found dead in San Antonio In and around an abandoned tractor trailer. This seemed to be one of the worst episodes of immigrant deaths in the United States in recent years. Authorities suggested that the extreme heat contributed to the deaths of migrants believed to have traveled from Mexico to the country.

China will relax quarantine rules for international arrivals. While China’s economy has endured months of uncertainty due to the country’s strict Covid rules, Shanghai’s stock market is half the current requirement for mandated time at quarantine facilities. I jumped at the news that it would be shortened to a week.

Receipt confirmation

Since the Supreme Court first revealed that the Roe v. Wade case could be overturned, some companies have helped employees move across state boundaries for abortion. I promised.But many of those companies A political campaign that actively worked to undermine Roe.journalist Dan Rather asked Which supporting company “also gave money to the senator who voted to confirm the judge who eradicated this constitutional right”?

DealBook reviews records and offers at least 11 companies to cover employee abortion-related travel expenses — Citygroup, Disney, Goldman Sachs, Google, Intuit, JPMorgan Chase, Meta / Facebook, Microsoft, PayPal, Salesforce. , Yelp — also National Republican Senate CommitteeThis helped elect some of the members who confirmed the conservative judge appointed by President Donald Trump. Their donations through the company’s Political Action Committee, which collects employee donations, totaled approximately $ 440,000 from 2017 to the present and were submitted to the Federal Election Commission show.

Both companies responded as follows. A Yelp spokeswoman said the company is donating to both Democrats and Republicans. An Intuit spokesman said the PAC was independent. A PayPal spokeswoman said PAC has not made political contributions since 2020. Citigroup and JPMorgan Chase declined to comment. Google, Facebook, and Goldman didn’t respond to comment requests, and Salesforce didn’t comment in time for publication.

Companies are big political spenders.. “Major listed companies and their industry groups the Bruce Fried of the Political Accountability Center, a non-profit organization, said: Members of those Republican groups have worked to limit the right to abortion. Match Group, a dating site company, set up a fund last year to cover the costs associated with strict abortion restrictions in Texas, As popular information reportedThe company also donated $ 137,000 to the Republican Association of Lawyers, undoubtedly undermining the rights of women who are currently promising support.

Point the arrow at Robin Hood?

Last month, cryptocurrency billionaire Sambankman Fried bought nearly 8% of Robin Hood, an app-based brokerage firm. He is reportedly currently considering an offer for the entire shebang.

Bloomberg reported yesterday that FTX, which had been making a mini-acquisition due to a plunge in cryptocurrency prices, had an internal discussion. Whether it makes sense to buy Robin Hood.. Stocks of once popular brokerage firms have risen 14% in the news, but are still 80% below IPO prices. With its current market capitalization, FTX can buy the rest of Robin Hood for just $ 7 billion.

Bankman-Fried said yesterday, “There is no lively M & A conversation with Robin Hood.” However, in a statement to DealBook and others later that day, he said he was “excited about Robin Hood’s outlook” and thought the two companies could work together. It keeps the door open to trading and raises some questions.

How is the transaction done? Investors valued the Bahamas-based FTX at $ 32 billion earlier this year. But does FTX really want to be within the reach of US regulatory agencies? There is a sister company FTX.US based in San Francisco, which has a much lower valuation. According to Forbes, on his own, Bankman Fried is worth about $ 20 billion. Is he willing to take any risk to Robin Hood?

Will FTX change Robinhood’s fee-free business model? Much of Robin Hood’s income Order flow payment, The controversial Wall Street trading practices that the Securities and Exchange Commission plans to eliminate, at least in part. Last month, FTX launched a trial of its fee-free stock broker and vowed not to trade with payments in the order flow. Perhaps FTX’s crypto trading business is profitable enough to use Robin Hood’s equity trading as a loss leader?

What if Robinhood’s meme-rich trading business mixes with FTX’s cryptocurrency volatility? “This is the recipe in question,” said Paul Rowady, research director at the securities firm Alphacution, a technology consulting firm. He said that by allowing FTX customers to fund Robin Hood’s account to buy GameStop and similar stocks, it would add volatility on top of volatility. “My thought bubble for SBF would be’don’t do it’,” Roydy said, referring to Bankman Fried.

“If an individual has to bring their healthcare options to their employer, that’s the worst-case scenario.”

— Dina Fierro, Global Vice President of cosmetics company Nars.A wave of new employer commitments over abortion Some workers have raised privacy concerns..

New York wealth outflow

Hundreds of thousands of New Yorkers who left the city early in the coronavirus pandemic emitted $ 21 billion in taxable income, according to IRS filings received in 2020 and 2021.

New York City is heavily dependent on the wealthiest inhabitants To support schools, law enforcement agencies and other public services. The Times’ reports of Nicole Hong and Matthew Hague report that the outflow of about 300,000 inhabitants is the largest in the city’s records and has long-term implications.

The top 1% of city earners who earn more than $ 804,000 a year donated 41% of New York City’s personal income tax in 2019.

The city outlook may be harsh. In both 2020 and 2021, we collected more tax revenue than in 2019. This is partly due to at least $ 16 billion in federal pandemic aid. But many forms of stimulus are now over. And the loss of face-to-face workers caused the market value of office buildings to plummet during the pandemic, prompting a sharp decline in property tax revenues.

The New Yorker’s escape to Florida was particularly terrible.. The pandemic has accelerated the relocation of several New York-based financial companies to new Florida offices or headquarters, including hedge fund Elliott Management. According to records obtained by The Times, the company’s co-Chief Executive Officer, Jonathan Pollock, is currently full-time in Florida.