Page 387 - The Case Lab Book

In September 2014 Retrophin increased the price of Thiola from $1.50 (£1)
per pill to more than $30 (£20) for the same product - an increase of almost

2,000 per cent.
Shares of Retrophin Inc jumped as much as 31 per cent following the deal
allowing it to market Thiola.

Retrophin then proceeded to sue Shkreli for $65million, after accusing him
of looting the company. Retrophin then proceeded to sue Shkreli for
$65million, after accusing him of looting the company. Retrophin's 2015

SEC Complaint claimed that Shkreli created MSMB Healthcare and
Retrophin "so that he could continue trading after MSMB Capital became
insolvent and to create an asset that he might be able to use to placate his
MSMB Capital investors." Shkreli's former hedge fund, MSMB was left

'virtually bankrupt' after Shkreli made a single trade with Merril Lynch in
February 2011 it was claimed.

Turing Pharmaceuticals

Named after Alan Turing, the British mathematician who played a key role

in cracking the Nazi Enigma-machine codes.

Turing Pharmaceuticals was founded in February 2015 by Shkreli. He
launched Turing with three drugs in development acquired from Retrophin:
an intranasal version of ketamine for depression,
an intranasal version of oxytocin, and

Vecamyl for hypertension.

Shkreli set a business strategy for Turing:

to obtain licenses on out-of-patent medicines and reevaluate the
pricing of each in pursuit of windfall profits for the new company,

without the need to develop and bring its own drugs to market.