Navigation Links
Prodigy Diabetes Care and OK Biotech Align Ownership
Date:4/16/2013

CHARLOTTE, N.C., April 16, 2013 /PRNewswire/ -- Prodigy Diabetes Care (Prodigy) announced today that its current manufacturing partner, OK Biotech Co., Ltd., (OK Biotech) has purchased a minority stake in the company, and Prodigy acquired substantial ownership of OK Biotech's publicly traded shares.

After a four-year contractual relationship, both parties agreed that a strategic partnership delivers the most benefit to their customers and patients. Prodigy and OK Biotech developed this new relationship in anticipation of the demand of a consolidated customer base for high-volume, lower cost diabetes testing supplies.

Beginning July 1, 2013, Centers for Medicare and Medicaid Services will implement its new contracts for National Mail Order Competitive Bidding for diabetes testing supplies. This program reduced reimbursement rates for diabetes supplies by 72 percent. The federal government awarded contracts to 23 mail order patient providers, eliminating thousands of suppliers from the market. These cuts strike a blow to manufacturers whose products retail at four or five times the Medicare reimbursement rate.

Prodigy and OK Biotech's new alignment ensures that providers have the capacity to meet the increases in volume and the need for lower priced quality products. Overlapping ownership interests ensure Prodigy and OK Biotech can cooperatively offer the best pricing solutions to accommodate the lower reimbursement rates. 

"We knew we needed to take an aggressive approach to the new Medicare program," said Rick Admani , Prodigy COO.  "Once the Medicare program announcement was made, we took it as an opportunity to strengthen our affiliation with OK Biotech and meet with many of the bid winners to offer them our best pricing.  The responses we've received have been overwhelmingly positive, and we are now under contract with most of the largest bid winners. It is already apparent that our alignment with OK Biotech will help us expand even more rapidly while providing the same quality products and services."

Though the competitive bidding process was originally limited to mail order suppliers, a provision in the fiscal cliff legislation reduced the retail reimbursement for diabetes test strips to the new lower rate that applies to mail order products.  Prodigy has offered retailers the same solutions as their mail order counterparts, providing high quality diabetes testing supplies at a cost that will still generate a profit.

"Continuing our partnership with Prodigy builds on our current industry standing as a leader," said James Lai, OK Biotech president. "We invested a substantial amount of money in Prodigy and in our new manufacturing facility to show our commitment to this market. The alignment of Prodigy's quality design products with our proven manufacturing capabilities and capacity will enable us to deliver four billion test strips annually at a favorable price point for our clients."

About Prodigy Diabetes Care
Prodigy Diabetes Care, LLC is a privately owned distributor of diabetes testing supplies. Established by principals with more than 45 collective years in the medical supplies industry, Prodigy distributes its products throughout the U.S. and world. Located in Charlotte, N.C., Prodigy now employs people nationwide. Prodigy has been commended for its growth and success by the Department of Commerce, the City of Charlotte and Inc. Magazine, and its innovative products have been recognized by the National Federation of the Blind and the American Foundation for the Blind.

About OK Biotech
OK Biotech Co., Ltd., located in Hsinchu, Taiwan, is a publicly traded company on the Taiwan exchange.  OK Biotech has experienced substantial growth since its establishment in 2005 due to its high quality manufacturing processes.  Anticipating the rapid growth in demand for its products, OK Biotech dramatically increased its production capabilities by moving to its new manufacturing and headquarters facility during March, 2013. Focused on Quality, Concern for Patients, Constancy in the Market and Leadership, OK Biotech is poised to continue as a leading manufacturer of diabetes testing supplies.


'/>"/>
SOURCE Prodigy Diabetes Care
Copyright©2012 PR Newswire.
All rights reserved

Related medicine technology :

1. Prodigy Generics and eVenus Announce the Launch of Oncology Injectable Irinotecan.
2. Prodigy Health Supplier Partners with Stason Pharmaceuticals to Help Relieve U.S. Drug Shortages
3. Lexicon Receives Funding for Phase 2 Clinical Trial of LX4211 in Type 1 Diabetes
4. Lilly Sets Date for Lilly Diabetes Pipeline Update to the Investment Community
5. Islet Sciences Announces Exclusive License Agreement with Yale University to Commercialize an Early Beta Cell Destruction and Diabetes Diagnostic
6. CASiGEN Pharma Receives A World-wide Exclusive License From GIBH To Bring New Potential Diabetes Treatments To The Global Market
7. Lilly Diabetes Presents Phase II Blood Pressure and Heart Rate Data on Investigational GLP-1 Analog Candidate, Dulaglutide, in Patients with Type 2 Diabetes at the 27th American Society of Hypertension Scientific Meeting
8. Valeritas Inc. Selects dLifes New Diabetes Patient Engagement Solution For Valeritas V-go Disposable Insulin Delivery Device
9. Jentadueto® (linagliptin/metformin hydrochloride) tablets recommended for approval in the treatment of adults with type 2 diabetes in Europe
10. Janssen Research & Development Submits New Drug Application to U.S. FDA for Canagliflozin to Treat Patients with Type 2 Diabetes
11. JDRF and BD Collaborate to Develop More Accurate and Reliable Glucose Monitoring Devices for People with Type 1 Diabetes
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/23/2016)... announced the establishment of Astellas Farma Colombia (AFC), a new affiliate with operations headquartered in Bogota. Colombia ... ... ... ... Astellas is a pharmaceutical ...
(Date:6/23/2016)... Pa. , June 23, 2016 The ... in an outpatient dialysis facility.  Treatments are usually 3 ... 6 hours per visit, including travel time, equipment preparation ... a patient, but especially grueling for patients who are ... of a skilled nursing and rehabilitation centers for some ...
(Date:6/23/2016)... YORK , June 23, 2016 ... waters, but it continues to present great opportunities to ... companies for today: Intrexon Corp. (NYSE: XON ... Arena Pharmaceuticals Inc. (NASDAQ: ARNA ), and ... more about these stocks and receive your complimentary trade ...
Breaking Medicine Technology:
(Date:6/27/2016)... ... , ... TherapySites, the leading website and online ... Counseling Association. This new relationship allows TherapySites to continue to extend their ... benefits and promotional offers. , "TCA is extremely excited about this new partnership, ...
(Date:6/27/2016)... ... June 27, 2016 , ... ... technology to revolutionize the emergency ambulance transport experience for the millions of people ... how Uber has disrupted the taxi industry through the use of technology. Now, ...
(Date:6/26/2016)... ... , ... Quality metrics are proliferating in cancer care, and are derived from ... of the beholder, according to experts who offered insights and commentary in the current ... For the full issue, click here . , For the American Society of ...
(Date:6/26/2016)... ... 26, 2016 , ... Pixel Film Studios Released ProSlice Levels, a Media Slicing ... their videos a whole new perspective by using the title layers in ProSlice ... , ProSlice Levels contains over 30 Different presets to choose from. FCPX ...
(Date:6/26/2016)... NC (PRWEB) , ... June 26, 2016 , ... Brent Kasmer, a legally blind and ... to be personalized through a fitness app. The fitness app plans to fix the two ... currently only offer a one size fits all type program , They don’t ...
Breaking Medicine News(10 mins):