Corporate Strategy

The market for acne treatment products was estimated to be worth $2.8 billion in 2009. Sales are expected to top $3 billion by 2016. Sales of drugs in the acne market are considered to be moderated by the devaluation of therapies due to widespread use of generics and the increased acceptance of alternative therapies, such as photodynamic therapy and ultraviolet/blue light therapy. Few first-in-class drugs enter the acne market space and new approaches to treatment have been lacking for some time.

Interestingly, there is no biological therapy approved for the treatment of acne. XBiotech expects the arrival of safe, affordable antibody therapy that is administered with subcutaneous injection will be a very exciting product in acne. The mechanism of action—blocking the chronic inflammation of the skin—is expected to provide a novel and efficacious approach to treatment. Significant unmet need and further market penetration is anticipated in the acne market.