Proposal to award Principal Supply Status for permanent coronary drug-eluting stents to Medtronic

Hospital devices Consultation Closes 28 Apr

What we’re proposing

Pharmac is seeking feedback on a proposal to award Principal Supply Status for the supply of permanent coronary drug-eluting stents (“DES”) to Health NZ hospitals through a provisional agreement with Medtronic New Zealand Limited (“Medtronic”).

It is proposed that:

  • from 1 June 2026 Medtronic’s brand of DES, Resolute Onyx, would be listed in Part III of Section H of the Pharmaceutical Schedule and available for Health NZ hospitals;
  • a transition period would apply from 1 June 2026 to 30 September 2026; and
  • Resolute Onyx would have Principal Supply Status from 1 October 2026 to 30 September 2029.

This proposal would result in savings of approximately $1.2m for public hospitals per annum.

Other brands of DES would remain listed on the Pharmaceutical Schedule and would be available for use by Health NZ hospitals in accordance with the Alternative Brand Allowance.

Consultation closes at 4pm, Tuesday 28 April 2026 and feedback can be emailed to sam.edlund@pharmac.govt.nz  

What would the effect be?

Principal Supply Status

This proposal would result in awarding Principal Supply Status to Medtronic for the supply of DES to Health NZ hospitals with an Alternative Brand Allowance of 35% for a term of three years.

If this proposal is approved, this would mean that for the term of the Principal Supply Status Health NZ hospitals:

  • must purchase a minimum of 65% of DES from Medtronic and
  • can choose to purchase a maximum of 35% DES from suppliers other than Medtronic.

35% Alternative Brand Allowance

An Alternative Brand Allowance of 35% means that 35% of the DES purchased in Health NZ hospitals could be a brand that is not Resolute Onyx supplied by Medtronic.

Timeline

List date

The date at which the Resolute Onyx DES would be available for purchase by Health NZ hospitals at the new Principal Supply Status price.

1 June 2026

Transition period

A four-month period that would allow Health NZ hospitals time to undertake any training and education that may be required and make the necessary changes to consignment stock of DES, before the Principal Supply Status provisions are effective and compliance with the Alternative Brand Allowance is required.

1 June 2026 to 30 September 2026

Principal Supply Status start date

The date at which Health NZ hospitals must only purchase the Principal Supply Status of DES, with 35% allowance for alternative brands.

1 October 2026

Principal Supply Status end date

The date at which Principal Supply Status with Medtronic would end. The term of the Principal Supply Status agreement is three years.

30 September 2029

Who we think will be interested

  • Catherisation laboratory clinical personnel including but not limited to:
    • Interventional Cardiologists
    • Nurses
    • Radiography personnel
    • Technicians
  • Procurement personnel
  • Service/Funding Managers
  • Suppliers

About these medical devices

A DES is a non-bioresorbable metal scaffold, coated with a pharmacological agent known to suppress restenosis. It is placed at the site of a major blockage in a coronary artery to hold the artery open and restore blood flow to the heart muscle.

Why we’re proposing this

Since 2017 Pharmac has sought advice from the Interventional Cardiology Advisory Group (“ICAG”) to assist with the development of market share Requests for Proposals (“RFPs”) and attain expert advice on the clinical suitability of different brands of DES.

In August 2025 Pharmac released a RFP for DES under the Principal Supply Status model.

Pharmac had a similar market share arrangement that ended 28 February 2026. This process was undertaken to obtain quality product at competitive pricing.

Details about our proposal

Pharmac has entered into a provisional agreement with Medtronic for the supply of permanent coronary DES. The proposal would result in awarding Resolute Onyx Principal Supply Status, covering 72 product lines.

If new generations of Medtronic’s DES are launched during the Principal Supply Status period, national pricing would be negotiated by Pharmac and Health NZ hospitals would be able to purchase the new DES as part of the Principal Supply Status.

Medtronic support

Medtronic would provide Health NZ personnel with training, education and clinical case support throughout the period of Principal Supply Status. Medtronic would also support the initial transition by working with each Health NZ hospital to establish the requirements of the hospital including but not limited to:

  • consignment stock levels
  • transition timeframes
  • in-service requirements, and
  • product conversation support.

Monitoring compliance with Alternative Brand Allowance

Throughout the Principal Supply Status period the 35% Alternative Brand Allowance would apply. Pharmac would monitor compliance and if the use of Alternative Brand Medical Devices is within the 35% Alternative Brand Allowance at a national level, the contract requirement would be met. If Health NZ hospitals exceed the 35% Alternative Brand Allowance Medtronic would be entitled to seek compensation from Health NZ.

Further information, including pricing and contractual details, has been provided to Health NZ procurement personnel. Clinicians interested in further detail on what this proposal means for their hospital should engage with Health NZ procurement team.

To provide feedback

Send us an email: sam.edlund@pharmac.govt.nz by 4pm, Tuesday 28 April 2026.

All feedback received before the closing date will be considered by Pharmac’s Board (or its delegate) prior to making a decision on this proposal.

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