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California is joining with a New Jersey company to buy a generic opioid overdose reversal drug

SACRAMENTO, Calif. (AP) — California is partnering with a New Jersey-based pharmaceutical company to purchase a generic version of Narcan, the drug that can save someone’s life during an opioid overdose, under a deal announced Monday by Democratic Gov. Gavin Newsom.

Amneal Pharmaceuticals will sell naloxone to California for $24 per pack, or about 40% cheaper than the market rate. California will give away the packs for free to first responders, universities and community organizations through the state’s Naloxone Distribution Project.

The deal is significant because it means California will be able to buy a lot more naloxone — 3.2 million packs in one year instead of 2 million — for the same total cost.

The deal means naloxone eventually will be available under the CalRx label. Newsom first proposed CalRx back in 2019 as an attempt to force drug companies to lower their prices by offering much cheaper, competing versions of life-saving medication. He signed a law in 2020 giving the authority to the state.

California governments and businesses will be able to purchase naloxone outside of the Naloxone Distribution Project, the Newsom administration said, adding the state is working on a plan to make it available for sale to individuals.

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