Amarin Partners with Recordati to Reinvigorate European Vascepa Sales

Amarin Licenses Vazkepa to Recordati to Boost EU Sales Amid Restructuring

Highlights

• Amarin licenses rights to Vazkepa (Vascepa) in Europe to Recordati in a $25 million upfront deal.
• The agreement includes up to $150 million in sales-related milestone payments and ongoing royalties.
• Amarin’s U.S. revenue dropped from $614 million in 2020 to $229 million in 2024 due to generic competition.
• The company expects to save $70 million and improve its financial standing through this partnership.
• Recordati brings extensive experience in Europe’s cardiovascular market, supporting Vazkepa’s growth potential.

Strategic Licensing Deal Amid Ongoing Restructuring

Amarin Corporation has entered into a licensing agreement with Italian pharmaceutical company Recordati to commercialize its cardiovascular drug, Vazkepa (known as Vascepa in the U.S.), across 59 European countries. This move comes as part of a broader restructuring initiative following continued revenue declines in Amarin's home market.

According to the terms of the agreement, Recordati will pay Amarin an upfront sum of $25 million. The deal also includes milestone payments up to $150 million, which are tied to annual sales targets, and supply-based royalties. As Amarin stated in its announcement, the partnership will allow the company to “streamline its global operations, which further strengthens the Company’s financial position.”

Decline in U.S. Sales Drives Shift to Europe

Amarin has been facing significant financial headwinds since the U.S. market for its only commercial product, Vascepa, was impacted by generic competition. After reaching a peak revenue of $614 million in 2020, the company saw a steady decline, with reported sales dropping to $229 million in 2024. The downturn began shortly after the FDA approved an expanded label for Vascepa aimed at reducing cardiovascular risks—an approval that initially appeared to be a breakthrough for the company.

"Amarin’s sales of Vascepa have plummeted since it caved to generic competition in the U.S. in 2020, just three months after the FDA granted it what seemed to be a game-changing label expansion to reduce cardiovascular risks."

Europe: A Market with Untapped Potential

Despite Amarin’s efforts to establish a European market for Vazkepa, the outcome has been limited. The company reported just $4 million in European revenue during the fourth quarter of 2023 out of a total $62 million. Amarin believes Recordati’s deep expertise in cardiovascular treatment and its long-standing presence in the region will help unlock the drug’s potential.

“We know from our experience, in particular from the U.S., and from the clinical profile of Vazkepa, that there is significant opportunity or growth because of the unmet need (in Europe),” said Amarin CEO Aaron Berg during a conference call on Tuesday.

The chairman of Amarin’s board, Odysseas Kostas, M.D., also emphasized the strategic alignment, noting Recordati’s “experience in the cardiovascular space in Europe.” Recordati, which will celebrate its centennial next year, currently derives about 25% of its revenue from its cardiovascular product line.

Cost Savings and Strategic Realignment

The licensing deal is expected to generate considerable savings for Amarin, with projected cost reductions of $70 million over the next 12 months. The company reported having nearly $300 million in cash and no debt, positioning itself strongly for further strategic moves.

“We’re sharpening our operational focus by restructuring the organization, which positions the company for greater future financial performance,” Berg added. “We continue to act in a proactive and decisive manner to identify and pursue additional strategic opportunities to drive shareholder value. Nothing is off the table.”