Nycomed sees return of price squeeze in U.S.

Price pressure has returned to the U.S. contrast agent market after a brief period of relative stability, Norwegian contrast developer Nycomed reported late last month. Nycomed attributed the resurgence to heavier competition in the contrast market, as well as increased managed-care buying power and the consolidation of group purchasing organizations.

Nycomed's announcement echoes comments made by Mallinckrodt executives last month on the status of the U.S. market for contrast media (SCAN 10/1/97). Mallinckrodt said that heightened price pressure in the U.S. market would cause the company to report lower than expected earnings for the first quarter of fiscal 1998.

Nycomed's news on contrast pricing came as part of an update on the status of the company's proposed merger with Amersham International of the U.K. The merger proposal will be voted on by shareholders of both companies at meetings to be held Oct. 14 and 16. The expected closing date of the deal is Oct. 21.

In other Nycomed news, the company announced in September that it has been awarded a three-year contract to supply x-ray and MRI contrast products to University HealthSystem Consortium Services. Nycomed has also submitted a bid in connection with the renegotiation of a supply agreement it holds with another GPO that is set to expire at the end of this year.