TheSTreet

Pfizer Inc. (PFE) said Friday, Nov. 16, it plans to increase list prices for 41 of its drugs effective Jan. 15.

The plan was first reported by The Wall Street Journal.

On most of those drugs, the planned price hike will be 5%. "The only exceptions are three products that have a 3% increase and one product that is increasing 9% due to the completion of two extensive development programs that have led to the recent FDA approvals of two new medical uses that meet unmet patient needs," Pfizer said.

The 41 medicines represent 10% of the New York pharmaceutical giant's drug portfolio.

"These list price increases are expected to be offset by higher rebates and discounts paid to insurance companies and pharmacy benefit managers and the net effect on revenue growth in the U.S. in 2019 is expected to be zero," Pfizer said. "Given the higher rebates and discounts, we expect that the healthcare system will share those benefits with patients so they do not experience higher costs for their medicines."

Shares of Pfizer closed at $43.51 on Friday, up 0.7%.

The announcement comes after Pfizer on July 10 said it will defer drug price hikes that were scheduled to be effective on July 1 after an "extensive discussion with President Trump," who on July 9 blasted Pfizer and others in a tweet, saying the companies "should be ashamed" for increasing prices "for no reason." The president on July 19 thanked Pfizer and Novartis for not raising prices on prescription drugs.