Novo Nordisk has amended its policy restrictions on 340B drug sales to hospitals. Starting Feb. 1, it will let those lacking wholly owned contract pharmacies to designate two contract pharmacy locations—one retail and one specialty.

Novo Nordisk Will Let Hospitals Designate Two 340B Contract Pharmacies—one Retail and one Specialty

Drug manufacturer Novo Nordisk has amended its policy restrictions on 340B drug sales to hospitals involving shipments to contract pharmacies.

In a notice to covered entities dated Jan. 24, Novo Nordisk said if a 340B hospital covered entity “does not have wholly owned contract pharmacies, that covered entity will be permitted to designate a total of two contract pharmacy locations—one retail pharmacy, and one specialty pharmacy (as determined by Novo Nordisk)—to which product purchased by that covered entity may be shipped.” It previously let hospitals designate just one contract pharmacy. The policy change takes effect Feb. 1.

“Eligible hospital covered entities that do not maintain wholly owned contract pharmacies may contact Novo Nordisk at to request an application to designate a single retail pharmacy and/or a single specialty pharmacy location to accept bill-to/ship-to orders for both the covered entity parent and its child sites,” the notice says. “Both retail and specialty pharmacy applications will be reviewed by Novo Nordisk prior to approval of any new exception requests.”

Novo Nordisk has appealed federal district judge’s Nov. 5 ruling upholding the federal government’s finding that the company cannot unilaterally impose restrictions on offers of 340B pricing to covered entities.

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