WILMINGTON, Del--Zeneca Group PLC, London, the parent company
of Zeneca Pharmaceuticals, has entered into an agreement to purchase
a 50% interest in Salick Health Care, Inc., Los Angeles, a provider
of health-care services to patients with cancer and other complex
illnesses. It may be the first time a pharmaceutical company has
purchased a health-care provider.
Under the agreement, Salick would become a separate company within
the Zeneca Group and the existing Salick management team would
remain in place, with Bernard Salick, MD, staying on as chairman,
CEO, and president.
Zeneca Group PLC is a $6.5 billion international bioscience company.
Its products include the anticancer agents tamoxifen (Nolvadex)
and goserelin (Zoladex). Salick operates 10 comprehensive cancer
centers in the United States and, through subsidaries, provides
dialysis, infusion, and nutritional services.
SalickNet, Inc., a managed care subsidiary, provides cancer care
(and care for other catastrophic diseases) to health-care purchasers.
In 1994, SalickNet signed the first contract of its kind to provide
"carve out" capitated cancer care for an HMO in South
The alliance with Salick represents an important expansion of
Zeneca services to managed care organizations, oncologists, other
specialists, and patients. The company is already active with
other US managed care customers. Last year, it established its
own primary care disease-management subsidiary, Stuart Disease
Management Services, Inc. (SDMS), which focuses on cardiovascular
Robert C. Black, president of Zeneca Pharmaceuticals, told Oncology
News International that, although SalickNet and SDMS share many
similarities, the nature of the products they offer differs.
"Salick is taking a provider-based approach to cancer and
is actively involved in caring directly for patients," he
said. "SDMS is different in that it supports third-party
providers through the provision of tools and resources to manage
disease--initially cardiovascular conditions--and does not intend
to get directly involved in the provision of care in the near