Wednesday, medical devices and diagnostic equipment maker Becton, Dickinson and Co. (BDX) and Foundation for Innovative New Diagnostics, or FIND, announced a significant price reduction in the cost of liquid culture testing. The liquid culture test is an effective tool for stemming the spread of multi-drug-resistant TB and extensively drug-resistant TB in developing countries.
Under the terms of the agreement, Becton, Dickinson's or BD's, MGIT reagents will now be discounted 80%. Slight price variations will occur for end users as a result of shipping costs, tariffs, fees and other local costs that vary from country to country. The agreement also provides for potential added discounts as test tube volume expands.
The price reduction is the result of an agreement signed between BD and FIND, a Swiss foundation that develops, evaluates and accelerates the implementation of new diagnostic tools for poverty-related diseases, in November 2007. Though this, BD had agreed to reduce already below-market prices upon the completion of 3.5 million tests, a milestone achieved this month. The lower prices will enable more tests to be administered in 39 high-burden countries, as identified by the World Health Organization.
BD and FIND said that they were able to accelerate the program with the help of financial support from a consortium consisting of UNITAID, the Global Laboratory Initiative and Global Drug Facility, along with FIND itself.
Over the next four years, FIND and its partners are expected to provide equipment, reagents and technical expertise in identified countries for modernizing and expanding TB laboratory diagnostic capacity.
BDX is currently trading at $68.68, up $1.72 or 2.57%, on the NYSE.
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