FTC Broadens Investigation of Pharmacy Benefit Managers and Group Purchasing Organizations

The Federal Trade Commission (FTC) has issued compulsory orders to two group purchasing organizations (GPOs), Zinc Health Services and Ascent Health Services, as part of its ongoing inquiry into pharmacy benefit managers (PBMs) and their impact on the accessibility and affordability of prescription drugs. The orders will require the entities to provide information and records on their business practices, including negotiating drug rebates on behalf of other PBMs. The FTC is investigating several PBM practices, including charging fees and clawbacks to unaffiliated pharmacies, steering patients towards PBM-owned pharmacies, and negotiating rebates and fees with drug manufacturers that may impact the costs of prescription drugs to payers and patients.