[Ip-health] Nonprofit Generic Firm Has A Name, $100 Million, And A CEO Who Will Work For Free
james.love at keionline.org
Thu Sep 6 05:09:44 PDT 2018
September 6, 2018
By Ellie Kincaid and Matthew Herper
The not-for-profit generic drug firm that aims to prevent drug shortages
and cut prices for patients now has a name – and a boss.
The effort will be called Civica Rx, and it will be run by chief executive
Martin VanTrieste, the former chief quality officer for Amgen. VanTrieste,
who in a prepared statement called the effort "a public asset," has agreed
to work without compensation.
Civica Rx says it has identified 14 products that it will produce. It will
be backed with a total of $100 million from seven healthcare systems and
three philanthropies, says Tim Lash, chief strategy officer of West Health
and president of the West Health Policy Center, one of the philanthropies.
Each will make an upfront payment of $1 million, and provide a line of
credit for $9 million.
“Essentially what we’re doing is a collective, vertically integrated play
into generic manufacturing, says Dan Liljenquist, SVP and chief strategy
officer at Intermountain Healthcare who will serve as chair of the Civica
board. “We don't think this market should be monetized,” Liljenquist says.
He compares dispensing generic drugs to the laundry and food services of a
The health care systems involved: Catholic Health Initiatives, HCA
Healthcare, Intermountain Healthcare, Mayo Clinic, Providence St. Joseph
Health, SSM Health, and Trinity Health. The philanthropies: the Laura and
John Arnold Foundation, the Peterson Center on Healthcare, and the Gary and
Mary West Foundation.
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