CHS partners with Cost Plus Drugs to address drug shortage
TENNESSEE, UNITED STATES—Community Health Systems (CHS) has partnered with Mark Cuban Cost Plus Drug Co. (Cost Plus Drugs) to offer lower-cost drugs to address drug supply shortages.
The partnership aims to address four key issues in drug manufacturing: the rising cost of drugs, medicine shortages, pharmaceutical waste, and patient safety and medication error prevention.
As part of the deal, CHS’ locations in Pennsylvania and Texas have agreed to buy medicines made at the Cost Plus Drugs factory.
Cost Plus Drugs said it would start manufacturing epinephrine and norepinephrine – two medicines often used in emergency departments and intensive care units – this month. Epinephrine is currently listed on the Food and Drug Administration’s list of scarce medicines.
“We are excited to start shipping our first sterile injectables from our Cost Plus Factory. Our mission is to end drug shortages and this is just the first step. Our partnership with CHS will give them access to epinephrine and norepinephrine at a transparent cost plus price,” Mark Cuban said.
Cost Plus Drugs is also opening a 22,000-square-foot fill-and-finish drug manufacturing plant in Dallas, Texas. The factory will make injectable drugs, which are in short supply.
In February, Cost Plus Drugs launched a marketplace for hospitals, ambulatory surgical centers, and clinics that sell vital medicines currently in shortage. The marketplace currently has over 4,000 medicines available.
CHS spans 71 hospital affiliates with about 12,000 beds across 15 states and recently reported $12.5 billion in 2023 net operating revenues.
Meanwhile, Cost Plus Drug currently offers about 2,500 generic medications and works directly with drug manufacturers to lower prices.
“Community Health Systems has stepped forward to consider important issues related to drug supply, drug costs, patient care and outcomes,” said Alex Oshmyansky, MD, PhD, Chief Executive Officer of Mark Cuban Cost Plus Drug Company.
