Billionaire John Kapoor’s Net Worth Falls $470 Million As Shares Of Opioid Maker Insys Hit New Low
Billionaire pharmaceutical entrepreneur John Kapoor’s net worth fell Thursday after Insys Therapeutics INSY +6.78%, where he is the CEO, chairman and founder, reported third quarter earnings. The stock fell 2.8% to $10.02 at Thursday’s close, the company’s lowest price in three years.
Since September, the 28% drop in Insys shares has shaved some $470 million off Kapoor’s net worth, lowering it to $1.63 billion, FORBES calculates.
Insys, based in Chandler, Ariz., makes a powerful pain-killing fentanyl spray called Subsys that is approved only for use by cancer patients. Critics allege that the company marketed Subsys for use in patients that do not have cancer, in defiance of the law. As reported in FORBES’ recent feature on Insys and Kapoor, Insys is being investigated by U.S. attorneys in the Central District of California and the District of Massachusetts. In August, Illinois filed claims against Insys related to off-label marketing practices. And doctors in at least six states who have worked with the company are being investigated. Insys had not admitted wrongdoing and said it has strengthened its procedures to prevent future lapses.
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