• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Analysts expected oil to surge above $200 but China has quietly kept prices half of that—and can’t for much longer

2

Corporate America has been draining the world's water. Matt Damon's new campaign calls on Gap, Starbucks, and Amazon to help give it back

3

Current price of oil as of June 11, 2026

1

Analysts expected oil to surge above $200 but China has quietly kept prices half of that—and can’t for much longer

2

Corporate America has been draining the world's water. Matt Damon's new campaign calls on Gap, Starbucks, and Amazon to help give it back

3

Current price of oil as of June 11, 2026
HealthBiotech

Biotech stocks dive as lawmakers take aim at Valeant for drug price hikes

By
Laura Lorenzetti
Laura Lorenzetti
Down Arrow Button Icon
By
Laura Lorenzetti
Laura Lorenzetti
Down Arrow Button Icon
September 28, 2015, 5:58 PM ET
J. Michael Pearson, Chairman of the board and Chief Executive Officer of Valeant Pharmaceuticals International Inc., waits for the start of their annual general meeting in Laval, Quebec
J. Michael Pearson, Chairman of the board and Chief Executive Officer of Valeant Pharmaceuticals International Inc., waits for the start of their annual general meeting in Laval, Quebec May 20, 2014. Canada's Valeant Pharmaceuticals International Inc said it will not make an all-cash bid for drugmaker Allergan Inc as many had expected last week when the company said it would improve its cash and stock offer for the Botox maker. REUTERS/Christinne Muschi (CANADA - Tags: BUSINESS HEALTH) - RTR3Q13SPhotograph by Christinne Muschi — Reuters

Democratic leaders in Congress are asking Valeant Pharmaceuticals for clear answers as to why it significantly raised prices on two critical heart drugs, and that pressure from lawmakers has fueled a rout in drugmaker shares.

Valeant (VRX) acquired two commonly used heart drugs, Isuprel and Nitropress, earlier this year and proceeded to raise prices on the medicines by 525% and 212%, respectively. The increase prompted an investigation by Democrats Sen. Bernie Sanders of Vermont and Rep. Elijah Cummings of Maryland in August, which has now expanded to the 18 Democrats on the House Committee on Oversight and Government Reform Monday.

The lawmakers sent a letter to the committee’s Republican chairman asking him to issue a subpoena forcing Valeant CEO J. Michael Pearson to testify before the committee regarding “massive price increases.” Valeant has refrained from providing this information to date, which it says is “highly proprietary and confidential.”

“We believe it is critical to hold drug companies to account when they engage in ‘a business strategy of buying old neglected drugs and turning them into high-priced’ ‘specialty’ drugs,” the Democrats wrote.

Shares of Valeant tumbled 16.5% on Monday, while the overall Nasdaq Biotech Index continued its downward slide by another 6%. The biotech index entered bear market territory by the end of last week, falling 13% by Friday’s close after Democratic presidential hopeful Hillary Clinton laid out her proposal Tuesday for fighting climbing drug costs and “profiteering” by pharmaceutical companies.

The mounting pressure from lawmakers has many investors worried that the drug industry will have to account for hefty price hikes for new and older medicines, which could affect the prices pharmaceutical companies can get for their drugs, eventually hurting drugmakers’ bottom lines.

Out-of-control drug prices took over headlines last week when Turing Pharmaceuticals came under pressure for raising the price of its treatment Daraprim by over 5,000% after it acquired the drug in August. Turing CEO Martin Shkreli has already been called to testify before the House oversight committee next week.

About the Author
By Laura Lorenzetti
See full bioRight Arrow Button Icon

Latest in Health

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Health

A person holds an iPhone as someone next to them points at the screen.
EconomyApple iPhone
You can blame America’s plummeting fertility rate on the iPhone, study finds: ‘People are all depressed and alone and doomscrolling’
By Sasha RogelbergJune 12, 2026
7 hours ago
fda
HealthTobacco
Why is the FDA approving kid-friendly, fruit-flavored e-cigarettes?
By Matthew Perrone and The Associated PressJune 12, 2026
7 hours ago
Testosil Review (2026): Testosterone Supplement Reviewed
HealthDietary Supplements
Testosil Review (2026): Testosterone Supplement Reviewed
By Christina SnyderJune 11, 2026
18 hours ago
BrickHouse Nutrition Field of Greens Review (2026)
HealthDietary Supplements
BrickHouse Nutrition Field of Greens Review (2026)
By Emily PharesJune 11, 2026
18 hours ago
worm
HealthFood and drink
The pest that could devastate the American cattle industry was in Texas, but now it’s in New Mexico, too
By Jeffrey Collins and The Associated PressJune 9, 2026
3 days ago
A man put a drink in front of Trump
HealthFood and drink
A Biden-era study told Americans to drink less alcohol. The Trump admin ‘sidelined’ the research facing pressure from the alcohol lobby
By Laura Ungar, Ali Swenson and The Associated PressJune 9, 2026
3 days ago

Most Popular

Analysts expected oil to surge above $200 but China has quietly kept prices half of that—and can’t for much longer
Energy
Analysts expected oil to surge above $200 but China has quietly kept prices half of that—and can’t for much longer
By Sasha RogelbergJune 10, 2026
2 days ago
Corporate America has been draining the world's water. Matt Damon's new campaign calls on Gap, Starbucks, and Amazon to help give it back
Environment
Corporate America has been draining the world's water. Matt Damon's new campaign calls on Gap, Starbucks, and Amazon to help give it back
By Catherina GioinoJune 9, 2026
3 days ago
Current price of oil as of June 11, 2026
Personal Finance
Current price of oil as of June 11, 2026
By Joseph HostetlerJune 11, 2026
1 day ago
When SpaceX starts trading, some 'shareholders' will discover they own nothing at all
Investing
When SpaceX starts trading, some 'shareholders' will discover they own nothing at all
By Jim EdwardsJune 12, 2026
4 hours ago
Marc Lore’s robots make 500 burrito bowls an hour. A human can make 45
Innovation
Marc Lore’s robots make 500 burrito bowls an hour. A human can make 45
By Amanda GerutJune 9, 2026
3 days ago
Costco CEO Ron Vachris rose from forklift driver to the C-suite without a college degree: ‘Don’t chase a title’ is the career advice that got him there
Success
Costco CEO Ron Vachris rose from forklift driver to the C-suite without a college degree: ‘Don’t chase a title’ is the career advice that got him there
By Preston ForeJune 8, 2026
4 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.