Empower Pharmacy relocates New Jersey operations to Houston amid Eli Lilly's anti-competitive pressures

Shaun Noorian, CEO of Empower Pharmacy
Shaun Noorian, CEO of Empower Pharmacy | Empower Pharmacy

Empower Pharmacy has announced that its East Windsor, New Jersey site will enter standby mode, with operations shifting to Houston. This decision follows a lawsuit from Eli Lilly and Company concerning compounded tirzepatide.

According to an X post by Hims House, Empower Pharmacy, identified as the largest compounding pharmacy in the United States, has ceased operations in New Jersey and laid off all staff at the location. The East Windsor facility is now in standby mode, with certain activities being transferred to Houston. This move comes after Eli Lilly filed a lawsuit in April over claims related to compounded tirzepatide.

The New Jersey Office of the Attorney General states that approximately 40 retail pharmacies licensed in the state perform sterile compounding, alongside 109 hospital pharmacies that may engage in similar activities. This infrastructure supports customized medication provision tailored to individual patient needs. Compounding pharmacies play a crucial role during drug shortages and meet specific local demands.

Law360 reports that Empower Pharmacy argued Eli Lilly's lawsuit is an anti-competitive maneuver in its motion to dismiss filed in federal court. The pharmacy claims that Lilly's actions aim to eliminate competition from affordable compounded versions of tirzepatide, which are vital for patients seeking cost-effective treatments.

Precedence Research projects that the U.S. compounding pharmacies market will grow from USD 6.45 billion in 2025 to USD 10.93 billion by 2034. This growth reflects increasing demand for personalized and affordable medication options nationwide, as compounding pharmacies provide alternatives to branded drugs and support access to various health treatments.

Founded by Shaun Noorian in 2009, Empower Pharmacy operates as the nation's largest 503A compounding pharmacy and 503B outsourcing facility. Headquartered in Houston, Texas, it specializes in weight management, hormone replacement, men's and women's health, and IV nutrition. The company focuses on delivering quality medications at affordable prices and has been recognized on Inc.'s list of fastest-growing private companies in the Southwest.