In the pharmaceutical industry, PIMCO typically looks for internal controls to guard against questionable sales incentives and marketing practices, guidelines regarding interactions with healthcare professionals, drug pricing transparency and an access to healthcare strategy which aligns with diversity & inclusion programmes.
In this case, PIMCO engaged the company on Covid-19-related concerns, including supply chain disruption preparedness, employee health measures and benefits, and access strategy for vaccine delivery. The analysts were looking to better understand the company's approach to encouraging responsible promotion through sales incentive structures and transfers of values to healthcare professionals.
Despite efforts to partner across the sector and with prominent research institutions and manufacturers to ensure fair access, the company has faced recent concerns over its intellectual property (IP) and patent protection policies related to its Covid-19 vaccine. PIMCO encouraged the issuer to increase transparency on its approach to equitable access related to Covid, as well as to focus on the development of additional therapeutics for Covid-19, given the lack of treatment options currently available.
The company has steadily improved its access-to-medicine strategy over the years for developing countries and antimicrobial resistance. There is a strong focus on strengthening health systems by investing in capacity-building initiatives to enhance patient access to care and vaccines, seeking to prevent opioid overdoses, and medicine drone delivery.
Additionally, their recent sustainability bond issuance, the first of its kind in the biopharmaceutical industry, will use proceeds to help manage the company's environmental impact, strengthen healthcare systems, and support increased patient access to its medicines and vaccines, especially among underserved populations.
For more case studies on PIMCO's ESG engagement, click to access your exclusive Spotlight guide
This article is funded by Pimco
