New agreement to save hospitals millions

Medtronic New Zealand has been awarded Principal Supply Status for permanent coronary drug-eluting stents from 1 October 2026. This agreement is expected to deliver savings of around $1.2 million each year as well as providing continued access to clinically suitable stents. 

Around 10,000 drug-eluting stents are used every year in our public hospitals. A drug-eluting stent is a small tube that 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. 

Pharmac’s Director of Medical Devices, Catherine Epps, says ensuring a reliable supply of drug-eluting stents is critical. 

“In this case we have managed to secure a consistent supply of clinically suitable stents at a great price. This means hospitals will be able to invest savings into new and emerging technologies.”  

Under the agreement, Medtronic will supply 65% of stents over a three-year period. Hospitals will still be able to purchase the remaining 35% from other suppliers, ensuring clinicians retain choice and flexibility where needed. 

Consultation earlier this year showed support for both the Medtronic Resolute Onyx stent and the savings associated with the proposal. Pharmac also heard questions about supplier capacity and support. 

Medtronic will provide training, education, and clinical case support throughout the agreement, and Pharmac will work closely with them and Health NZ to support a smooth transition. 

Reduced pricing for the Medtronic Resolute Onyx drug-eluting stent took effect from 1 June. A transition period will apply from 1 June to 30 September 2026 to allow hospitals time to move to the new supply arrangements. 

“We’re really pleased to be able to proceed with this agreement,” says Epps. “We’ve negotiated great value on stents that suit most patients, while still ensuring hospitals have the flexibility to use alternatives when required.”