New hospital-led generics co unlikely to be a goer, says analyst

An analyst at GlobalData affiliate PharmSource has poured cold water on the prospects for a newly-announced not-for-profit pharma company founded by hospital groups in the USA.

The commentary follows a report in the New York Times that five organizations, representing over 450 hospitals, had joined forces to start a generics company to help patients by “addressing the often unwarranted shortages and high costs of lifesaving generic medications."

The company intends to either produce generic drugs itself, or outsource to CMOs.