Mark Cuban is getting involved in generic drugs.
The Dallas Mavericks owner has attached his name to a company that will produce low-cost versions of expensive generic drugs. The Mark Cuban Cost Plus Drug Company pledges “to provide radical transparency” in how it prices its drugs.
The company will manufacture, distribute, and market its drugs to pharmacies and add a flat 15 per cent margin to get its wholesale prices.
The first drug to be produced is albendazole, an anti-parasitic pill that can retail for over US$400 per tablet. The company plans to make and distribute the drug for about US$13, charge US$15 as a wholesale price and set a manufacturer’s suggested retail price of US$20 per tablet. The company is also donating 10,000 pills to researchers at the Baylor College of Medicine.
“This is our first step towards taking on the pricing of generic drugs,” Cuban tweeted Wednesday.
The new venture is hoping to introduce over 100 drugs by the end of 2021 and build a pharmaceutical factory in Dallas, Texas, by 2022.
Requests for comment from Cuban and the company were not returned.