Billionaire Entrepreneur Mark Cuban Launches Affordable Online Pharmacy of Generic Drugs
© AP Photo / Richard Shotwell/Invision / Mark Cuban attends the Disney ABC Television Critics Association 2017 Summer Press Tour at the Beverly Hilton Hotel on Sunday, Aug. 6, 2017, in Beverly Hills, Calif.
© AP Photo / Richard Shotwell/Invision /
On Thursday, billionaire investor Mark Cuban launched an online pharmacy, The Mark Cuban Cost Plus Drugs Company (MCCPDC), to provide consumers with affordable generic drugs. The online pharmacy will offer over 100 generic drugs and has pledged to be “radically transparent” in its negotiations with drug companies.
Alex Oshmyansky, the CEO of MCCPDC, summed up the company’s mission. "We will do whatever it takes to get affordable pharmaceuticals to patients." He added, "The markup on potentially lifesaving drugs that people depend on is a problem that can't be ignored. It is imperative that we take action and help expand access to these medications for those who need them most."
The company is a registered pharmaceutical wholesaler that acts to cut out distributors, the so-called middle man, between consumers and drug manufacturers. According to a press release, MCCPDC drug prices to purchasers will be 15% over the manufacturer selling price, plus what is described as a small ‘pharmacist fee’.
The cost savings advertised by MDDPDC for some drugs can be staggering. The current retail price set by medical insurance companies and distributors for Imatinib, a leukemia treatment, is $9,657 a month. With common vouchers, it can be bought for $120 a month. MCCPDC will sell the drug for $47 a month.
To keep prices low, the company will only accept cash. Individuals cannot use insurance to purchase drugs and must request a prescription from their provider to place an order.
MCCPDC was hatched after Alex Oshmyansky sent Cuban a cold-call email about starting a low-cost generic drug company. By January 2021 the company was launched, and Cuban, wanting to “show capitalism can be compassionate and to send the message I am all in,” put his name on the company.
By the end of the year, MCCPDC expects to have completed construction on a 22,000-square-foot manufacturing facility in Texas. Cuban’s financial investment in the company has not been made public.
Cuban has an estimated net worth of $4.5 billion, is the owner of NBA franchise the Dallas Mavericks, and has been a regular investor on the hit reality television show Shark Tank.