Business
Rockwell Medical Reacquires Distribution Rights for its Hemodialysis Concentrates Business from Baxter
Expects to be Profitable in 2024 WIXOM, Mich.--(BUSINESS WIRE)-- Rockwell Medical, Inc. (“Rockwell” or the “Company”) (Nasdaq: RMTI), a commercial healthcare
About this update from Rockwell Medical, Inc.
[{"type":"text","content":"\nExpects to be Profitable in 2024\n\n WIXOM, Mich.--(BUSINESS WIRE)--\nRockwell Medical, Inc. (“Rockwell” or the “Company”) (Nasdaq: RMTI), a commercial healthcare company focused on providing life-sustaining products for patients suffering from blood disorders and diseases associated with the kidney, announced that the Company is reacquiring its distribution rights to its hemodialysis concentrates products from Baxter and has agreed to terminate the exclusive distribution agreement dated October 2, 2014. Exclusivity and other provisions associated with the distribution agreement terminate November 9, 2022 and the remaining operational elements of the agreement terminate December 31, 2022.\n\nRockwell is the second largest supplier of life-sustaining hemodialysis concentrates products to dialysis clinics in the United States. Under the exclusive distribution agreement, Baxter distributed and commercialized Rockwell’s hemodialysis concentrates products in the United States and certain other countries. Rockwell manufactured all hemodialysis concentrate products and provided customer service and order delivery to nearly all U.S. customers. Following the reacquisition of these rights, Rockwell will now be able to sell its hemodialysis concentrates products directly to dialysis clinics throughout the United States and around the world. Additionally, Rockwell will now be able to independently price its products, eliminate costs associated with manufacturing covenants, improve manufacturing efficiencies, realize the full benefits from those improvements, and develop, in-license, or acquire new products to develop a broader kidney care products portfolio. This will improve Rockwell’s overall profitability and set the Company on a positive growth trajectory. Collectively, this affords Rockwell the opportunity to expand its leadership position within a large market opportunity, which currently is valued at $380 million and is anticipated to grow to approximately $500 million by 2026 in the United States alone.\n\n“We are excited to reacquire the distribution rights of our products and are now well-positioned to grow our hemodialysis concentrates business,” said Mark Strobeck, Ph.D., President and CEO at Rockwell Medical. “Rockwell will acquire more than 700 hemodialysis concentrates customers including hospitals, medical centers, dialysi...