This increase in contracted products with AOK, a health fund that represents 25 million of the approximately 70 million publicly insured people in Germany, will further increase Teva's presence in the German generic market. Germany is Europe's largest generic market with approximately EUR 8 billion of sales, based on IMS sales data.
The two tenders were the result of recent changes in Germany's legislation, which now entitles health funds to negotiate discounts for products directly with manufacturers. Manufacturers selected by AOK via its official bidding process will become one of three preferred suppliers of a specific finished dosage product over a two-year period. Preferred products will be selected by doctors and pharmacists prescribing and dispensing, respectively, to AOK patients.
At the request of AOK, Teva will provide additional details only after all formalities are finalized, which is expected to occur in the coming weeks.
Teva Pharmaceutical Industries Ltd. (NASDAQ: TEVA), headquartered in Israel, is among the top 20 pharmaceutical companies in the world and is the leading generic pharmaceutical company. The company develops, manufactures and markets generic and innovative human pharmaceuticals and active pharmaceutical ingredients, as well as animal health pharmaceutical products. Over 75 percent of Teva's sales are in North America and Europe. For more information, visit www.tevapharm.com.