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Premier Joins 34 Health Systems in DeRoyal Partnership for Expanded Domestic Isolation Gown Production

Published in: Healthcare Finance News

Healthcare company Premier has joined 34 member health systems in partnering with global medical manufacturer DeRoyal Industries, creating a joint venture focused on domestic production of isolation gowns.

The joint venture will produce isolation gowns in an existing facility just outside Knoxville, Tennessee. Raw materials will primarily be sourced from U.S.-based manufacturers, with backup capacity from Mexico and South America.

In the collaboration, the gowns are designed to specifications considering the hospital systems' care delivery requirements, while also allowing for automated production that can scale over time. To support the venture long-term, health system co-investors also signed multi-year commitments to purchase a portion of the isolation gowns used each year from the joint venture.

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