December 7, 2021 – Premier Inc. (Charlotte, NC) announced the launch of the first drug developed through its existing partnership with VGYAAN Pharmaceuticals LLC (Skillman, NJ). The first product under this partnership is an injectable medication used in a variety of therapeutic indications that has been on and off the FDA drug shortage list numerous times over the past five years.
Additional products for co-development are being identified with the guidance of Premier member health systems representing thousands of hospitals across the nation.
With existing production capacity in the U.S., VGYAAN focuses on developing and commercializing clinically critical therapeutics that traditionally experience supply chain volatility, including generic injectables. With approximately 40% of generic drugs supplied by a single manufacturer, Premier says its investment in the partnership is helping to:
- Increase capacity of at-risk products;
- Promote greater competition into the pharmaceutical market;
- Support a sustainable approach to U.S.-based manufacturing; and
- Secure the reliable supply of pharmaceutical products for healthcare providers and patients.
“Premier’s investment to co-develop at-risk drugs is a critical step forward in addressing supply chain challenges and pervasive drug shortages,” said Gary Kerr, Chief Pharmacy Officer at Baystate Health, a Premier member hospital system based in Springfield, Massachusetts. “The high cost of development coupled with the low return on investment for these generic injectables serves as a deterrent for new manufacturers to enter the market. Premier’s investment provides incentive for manufacturers and encourages the creation of a healthy, competitive market.”
“The launch of the first product developed through this partnership is another critical step forward in Premier’s decades-long work to reliably source at-risk products and eliminate drug shortages,” said Premier Chief Pharmacy Officer Jessica Daley. “Together with our members and partners, we’re addressing this critical public health need, and we’ll continue to implement real, pioneering solutions that help secure the supply of vital drugs at a fair price.”