(RightWing.org) – Business investor and Dallas Mavericks co-owner Mark Cuban and radiologist Alex Oshmyansky, MD, PhD, founded Cost Plus Drugs in early 2022. The Texas-based public benefit corporation manufactures generic drugs. Individuals can purchase medication through its accredited pharmacists and save money by cutting wholesalers out of the sales chain. Cuban and his partner recently shook up the drug industry — again.
On July 17, the Texas Board of Pharmacy approved Cost Plus Drug’s application for a pharmaceutical manufacturing license for its Deep Ellum plant. Located near downtown Dallas, the 22,000-square-foot facility is set to start working with providers to ship medications directly to hospitals and clinics nationwide.
Oshmyansky recently told D Magazine the company needed to iron out a few remaining details with the US Food and Drug Administration before it could become fully operational. Likewise, he confirmed the company needs to work out a few logistical issues involving the medical facilities’ procurement process. However, he thinks that the Deep Ellum facility should be ready to start sending pharmaceutical shipments to hospitals and clinics by September or October.
Instead of manufacturing a broad spectrum of drugs, Cost Plus will focus on manufacturing pharmaceuticals in short supply. The FDA makes it easy for them to determine what medicine to produce since the agency keeps a running list in its Drug Shortages database.
Many drugs experiencing shortages have a low profit margin, making them unattractive to other pharmaceutical manufacturers. Oshmyansky plans to fill that gap by manufacturing those products, reminiscent of the retail adage that earning three dimes is better than one quarter.
Oshmyansky plans to meet with hospital officials and other healthcare system operators nationwide. He hopes to discuss their needs and how Cost Plus can help them maintain lower costs. This savings can be passed on to patients.
As a further affirmation of the company’s current direction, Time Magazine recently listed Cost Plus Drugs as one of its 100 Most Influential Companies for 2023. The noted periodical listed the company in its Disrupters category, consistent with Cuban and Oshmyansky’s goal of upending normal business practices in the pharmaceutical industry.
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