Waymade PLC, a pharmaceutical distribution and logistics business, notes the CMA’s provisional findings that Actavis and Waymade PLC were, for a time, parties to an anti-competitive agreement in relation to the supply of 20 milligram hydrocortisone tablets. The CMA has also suggested that Waymade PLC has participated, two weeks only, in an anti-competitive agreement relating to the supply of 10 milligram hydrocortisone tablets.
Waymade PLC will review the CMA’s provisional findings closely with its legal advisers, to understand the CMA’s concerns around the historic supply agreement. Waymade PLC has worked hard to provide the CMA with relevant information to help with its enquiry and has cooperated with the CMA throughout its investigation. Waymade PLC’s business decisions focussed on developing its own products for the UK market and competing as effectively as it could with a safe, compliant and reliable supply chain in circumstances where many factors were outside of its control.
In light of the CMA’s investigation, Waymade PLC has reviewed historic pricing of 20mg hydrocortisone tablets and is confident that the timing of Waymade PLC bringing its product to the market did not influence the cost of the drugs to the NHS. We have expert economic evidence clearly showing that Waymade PLC had a strong incentive to bring its own product to market as soon as possible, even with the relevant agreement in place. Most importantly, it is clear that the price paid by the NHS (the drug tariff) for hydrocortisone 20mg tablets was not impacted by the agreement.
The regulatory process now gives Waymade PLC the opportunity to further explain its position to the CMA.