HHS signs deal with Gilead to secure supplies of remdesivir

The U.S. Department of Health and Human Services (HHS) struck an agreement to secure large supplies of the drug remdesivir from Gilead Sciences.

HHS has secured more than 500,000 treatment courses of remdesivir — the first authorized therapeutic for COVID-19 — for U.S. hospitals through September. This represents 100 percent of Gilead’s projected production for July (94,200 treatment courses), 90 percent of production in August (174,900 treatment courses), and 90 percent of production in September (232,800 treatment courses). A treatment course of remdesivir is about 6.25 vials, on average.

“To the extent possible, we want to ensure that any American patient who needs remdesivir can get it. The Trump Administration is doing everything in our power to learn more about life-saving therapeutics for COVID-19 and secure access to these options for the American people,” HHS Secretary Alex Azar said.

Hospitals will pay no more than Gilead’s Wholesale Acquisition Price (WAC), which amounts to approximately $3,200 per treatment course.

The supplies will be allocated similarly to how Gilead’s donation of approximately 120,000 treatment courses of remdesivir were allocated. Specifically, HHS allocates product to state and territorial health departments based on COVID-19 hospital burden, and health departments allocate it to hospitals. The delivery will be streamlined, going directly to the hospital, per the state’s allocation decision, rather than going first to the state health departments for subsequent delivery to hospitals.

Shipments will likely occur every two weeks, as they have with the donated product. The final allocation of Gilead’s approximately 120,000 donated treatment courses shipped on June 29.