Hikma and Civica Rx sign long-term agreement to reduce generic drug shortages in the US
Partnership will supply 14 essential medicines to US hospitals and patients
London and Salt Lake City, UT, July 23, 2019 – Hikma Pharmaceuticals PLC (Hikma, Group) (LSE: HIK) (NASDAQ Dubai: HIK) (OTC: HKMPY) (rated Ba1 Moody’s / BB+ S&P, both stable), the multinational generic pharmaceutical company and Civica Rx (Civica, Inc.) today announce a five-year agreement to manufacture and supply Civica’s growing membership of US health systems with medications that are often in short supply in US hospitals.
Under the agreement, Hikma will produce 14 essential sterile injectable medications for Civica as a private label distributor, using Hikma’s Abbreviated New Drug Application (ANDA) and Civica’s labeling and National Drug Code (NDC). These medicines are used daily by hospitals in emergency care, surgery, pain management and in treating hypertension. The list of products included in the agreement will be publicly announced in the near future, and initial shipments are expected to begin before the end of 2019.
Civica was founded in 2018 by leading US hospital systems concerned about generic drug shortages and philanthropic organisations passionate about improving healthcare. To date more than 30 health systems are Civica members, representing more than 900 US hospitals and approximately 30 percent of all licensed US hospital beds.
Hikma is the third largest US supplier of generic injectable medicines with a growing portfolio of more than 100 injectable products. Today, one in every six generic injectable medicines used in US hospitals is a Hikma product. During the last three years, Hikma has launched more than 20 medications into US shortage situations and in 2016 the company received a Drug Shortage Assistance Award from the US Food and Drug Administration (FDA) for its role in preventing or alleviating drug shortages.
“Hikma is thrilled to be partnering with Civica to reduce drug shortages, and we share their commitment to providing hospitals and doctors with a steady and reliable supply of high-quality injectable medicines needed for successful patient care,” said Daniel Motto, Hikma’s EVP of Commercial & Business Development, US Injectables. “This agreement recognises both our ability to deliver a large and consistent supply of quality medicines, and the significant investments we have made to expand our injectable manufacturing capacity and capabilities.”
“We applaud Hikma’s clear commitment to reducing drug shortages,” said Martin VanTrieste, President and CEO of Civica Rx. “Our partnership will help us make an impact as quickly as possible. We specifically chose Hikma because of their strong manufacturing capabilities and believe their excellent quality and supply record will be key to our success in ensuring vital medications are consistently available for hospitals and patients who need them.”
“We are privileged to be working with Civica and we appreciate their five-year commitment to guaranteed demand and fair and sustainable pricing, which supports more effective production planning and long-term investments in manufacturing,” said Riad Mishlawi, President, Hikma Injectables. “We believe Hikma’s size and scale, broad portfolio of medicines and robust pipeline across growing therapeutic areas will enable us to build on this partnership in the future. We are committed to working with Civica and all of our customers as a reliable partner, capable of serving the growing needs of US hospitals and clinics for a wide-range of essential medicines.”