Shaun Noorian, founder and CEO of Empower Pharmacy, joined InnovationMap for a Q&A on his rapidly growing compounding pharmacy business. Photo courtesy of Empower Pharmacy

When Shaun Noorian encountered what he felt was a poorly ran process, as an engineer, he built something better. Now, he runs one of the nation's largest compounding pharmacies that's at a pivotal time for growth.

Headquartered in Houston, Empower Pharmacy is opening two new facilities locally — one debuts later this year and the other in 2022. Ahead of this milestone for his company, Noorian joined InnovationMap for a Q&A about how he decided to start his company and how he's grown it from a small office to two 85,000-square-foot facilities — as well as how Houston has been a big part of his company's success.

InnovationMap: Why did you decide to form Empower Pharmacy?

Shaun Noorian: I initially started Empower Pharmacy as a patient that was frustrated with the medication that I was receiving from a local compounding pharmacy in Houston.

I'd been working as a hydraulic fracturing field engineer at Schlumberger after graduating from college with a degree in mechanical engineering and was injured after several months on the job. I hemorrhaged three of my lower vertebrae and was put into physical therapy to try and fix my back. One of the doctors that was treating me noticed that I was very skinny for my age. I was probably 25 years old at the time. He decided to test my blood for the hormone testosterone, which is responsible for muscle growth and many other important factors in both men and women. The test determined that I had the testosterone level of an elderly man. The doctors sent me to Baylor College of Medicine for MRI blood tests, and they determined that I had a pituitary disorder and that I couldn't create the hormones responsible to tell my body to create testosterone. They put me on testosterone replacement therapy and it completely changed my life. Being testosterone deficient my entire life, I didn't realize what normal should be.When I was put on the medication, it was like a new lease on life. And I became very interested in the medication that I was taking, and how it worked. I studied everything I could. I was getting my medications from a local compounding pharmacy here in Houston, and I wasn't very satisfied with the quality of the service or the costs. Getting these medications was a very large percentage of my, what I was living off of. I couldn't figure out why this medication was so expensive when it cost just a few cents to make.

IM: How did you turn that passion into a business?

SN: I guess like most engineers, I decided I wanted to build — to make my own pharmacy. And make my own drugs and offer them to patients in a manner that I would want to it be from a patient's perspective when dealing with the compound pharmacy. I leased about 100 square feet in the back of the doctor's office. I pretty much converted one of his exam rooms and started my pharmacy there. I hired a pharmacist and did all the technician duties myself. I wanted to apply the patient experience that I would've wanted.

Slowly but surely, patients and prescribers around the area were very happy with the level of service and quality that they were receiving from our pharmacy. And we would get more requests through simple word of mouth and reputation. We grew pretty quickly out of that space and then built out a 1,500-square-foot space in a shopping center a couple of years later.

Following several more expansions and new locations throughout the years, we're now gearing up to open our new facility (7601 N. Sam Houston Parkway W., near the intersection of Highway 249 and Beltway 8), which will be the most advanced compounding pharmacy ever built. It has a lot of automation, and utilizes the same processes and equipment that Big Pharma uses to make their drugs. We're trying to better the system and continue to bring automation into the compounding industry so we can continue to scale and set a standard for the rest of the industry.

IM: What sets your business apart from what else is out there?

SN: We're a pharmacy that wants to do everything in house. We want to integrate our supply chain, and that means removing low value middleman from the health care ecosystem and streamline the medical distribution process. This means being the manufacturer, distributor, and regional pharmacy all in one, so we can really control our supply chain and integrate it. And at the same time, we can really be able to control and customize the consumer experience for both our patients and prescribers in a way that we would want. It's been a lot of fun being able to create your own healthcare ecosystem and building software for that your for patients that I'd want to use.

I'm an engineer. It's more fun talking about my equipment than anything else.

If you walk into a Walgreens, it's a simple repackaging operation. You're taking pills from a big bottle and putting them in a smaller bottle. What differentiates us from them and what's unique about this facility is that it's really built the same way as traditional pharmaceutical manufacturing is built using the same exact processes, systems, layout, etc.

We create our own purified water. We create our own clean, dry compressed air. We create our own clean steam that we use in our compounding processes, which are built to CGMP — current good manufacturing practices — specifications. We adopt a lot of those processes into the facility, and we built the facility around those standards that the FDA requires.

IM: You mentioned a new facility — but Empower is actually opening two new facilities within a year of each other. Tell me about those.

SN: Each facility is a mirror of each other — they are both 85,000 square feet. The one that's opening this year is going to be a pharmacy, so it'll just be dealing with patients. The next one is going to be licensed with the FDA and will work with larger institutions, selling medications in bulk for office use to institutions, hospitals, clinics, and prescribers. They will administer those medications to their patients in office. It's our way of being able to integrate that supply chain, so we can be that one-stop shop. So, physicians don't have to go to different vendors to source their medications — we can be an all-encompassing partner and vendor for them to source all their medical needs.

IN: How else are you expanding your business model?

SN: We've always concentrated on — since the inception of the company — quality, service, and cost. And we're always working to figure out how to increase quality, how to decrease costs, and how to make it easier and more convenient for our customers to use us. Some projects that we've been working on that are set to launch in the next few years is building out our own API – application programming interface – so that our telemedicine and other clients that are using electronic versions of health care record software can easily interface with our systems and vice versa.

IM: How has Houston been for you as a home base for Empower?

SN: I think being in Houston is one of the reasons why we've grown to become the largest compounding pharmacy in the nation. It's really just a lot of luck of being in Houston. I'm sure we're all aware that having the largest medical center in the world in your own backyard is a great way to have more prescribers than pretty much any other city in the country. That definitely helped us and continues to help us grow. Additionally, being the third largest city by population means we have a large workforce to pull a diverse workforce for whatever this company needs. Having a diverse workforce has been integral in our growth. Also, having two schools of pharmacy in our backyard has also helped.

There's a reason why, as we grow, we always stay in Houston. It doesn't make sense for us to go anywhere else. This is a great city and a great state to do business.

IM: Are you hiring?

Oh, we're always hiring. I think we currently have around 50 positions open and there's everything from pharmacy operations, all the way to manufacturing and marketing to sales, logistics, legal, you name it.

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This conversation has been edited for brevity and clarity.

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Texas attracts big percentage of government clean energy investment, says 2023 report

by the numbers

On a per-person basis, Texas grabbed the third-highest share of federal investment in clean energy and transportation during the government’s 2023 budget year, according to a new report.

Texas’ haul — $6.2 billion in federal investments, such as tax credits and grants — from October 1, 2022, to September 30, 2023, worked out to $204 per person, bested only by Wyoming ($369) and New Mexico ($259). That’s according to the latest Clean Investment Monitor report shows. Rhodium Group and MIT’s Center for Energy and Environmental Policy Research produced the report.

For the 2023 budget year, Texas’ total pot of federal money ranked second behind California’s ($7.5 billion), says the report. Nationwide, the federal government’s overall investment in clean energy and transportation reached $34 billion.

Other highlights of the report include:

  • Public and private investment in clean energy and transportation soared to $239 billion in 2023, up 37 percent from the previous year.
  • Overall investment in utility-scale solar power and storage systems climbed to $53 billion in 2023, up more than 50 percent from the previous year.
  • Overall investment in emerging climate technologies (clean energy, sustainable aviation fuel, and carbon capture) during 2023 surpassed investment in wind energy for the first time. This pool of money expanded from $900 million in 2022 to $9.1 billion in 2023.

The Lone Star arm of the pro-environment Sierra Club says the federal Inflation Reduction Act, which took effect in 2022, “includes a dizzying number of programs and tax incentives” for renewable energy.

“While it will take several years for all the programs to be implemented, billions in tax incentives and tax breaks, along with specific programs focused on clean energy development, energy efficiency, onsite solar, and transmission upgrades, means that Texas could help lower costs and transform our electric grid,” says the Sierra Club.

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This article originally ran on EnergyCapital.

Houston company moves to suburb for $4M new HQ

headed southwest

Frazer, a manufacturer of emergency vehicles, is shifting its headquarters from Houston to Sugar Land — a move that will bring 286 jobs to the Fort Bend County suburb.

The company plans to invest $4 million in its new headquarters, a two-story, 23-year-old facility that it’s leasing from CVH Capital Partners. The previous tenant was Thermo Fisher Scientific. The building, at 1410 Gillingham Ln., encompasses 150,000 square feet.

Frazer’s current headquarters is at 7219 Rampart St., near the intersection of Bissonnet Street and Renwick Drive.

“Being just minutes outside of Houston, Sugar Land has always been on our radar,” Laura Griffin, CEO of Frazer, says in a news release. “It’s home to a growing business environment, a robust workforce, and reliable infrastructure. It’s an ideal destination for us to grow and serve our customers.”

The Sugar Land Office of Economic Development and Tourism arranged financial incentives and financing options for the new headquarters.

“We are committed to boosting our business community and empowering our workforce by fostering business relationships,” says Elizabeth Huff, executive director of the economic development office. “Frazer’s expansion is proof of our success in this endeavor.”

Frazer, founded in 1956, makes and sells mobile clinics, mobile stroke units, and ambulances for fire departments and emergency services providers. Houston-area customers include Texas Children’s Hospital, UTHealth Houston, the Bellaire Fire Department, the Harris County Hospital District, the Houston Fire Department, and the Montgomery County Hospital District.

3 Houston innovators to know this week

who's who

Editor's note: Welcome to another Monday edition of Innovators to Know. Today I'm introducing you to three Houstonians to read up about — three individuals behind recent innovation and startup news stories in Houston as reported by InnovationMap. Learn more about them and their recent news below by clicking on each article.

Abbas Rana, associate professor of surgery at Baylor College of Medicine

The NIH grant goes toward TransplantAI's work developing more precise models for heart and lung transplantation. Photo via BCM

The National Institute of Health has bestowed a Houston medtech company with a $2.2 million Fast-Track to Phase 2 award. InformAI will use the money for the product development and commercialization of its AI-enabled organ transplant informatics platform.

TransplantAI solves that problem, as well as organ scarcity and inefficiency in allocation of the precious resource.

The NIH grant goes toward developing more precise models for heart and lung transplantation (kidney and liver algorithms are further along in development thanks to a previous award from the National Science Foundation), as well as Phase 2 efforts to fully commercialize TransplantAI.

"There is an urgent need for improved and integrated predictive clinical insights in solid organ transplantation, such as for real-time assessment of waitlist mortality and the likelihood of successful post-transplantation outcomes," according to the grant’s lead clinical investigator, Abbas Rana, associate professor of surgery at Baylor College of Medicine. Read more.

Rebecca C. Vaught, founder and CEO of Van Heron Labs

Van Heron Labs, founded at TMC, raised a $1.1 million seed round led by FoodLabs. Photo via LinkedIn

A biotech company that was founded at the Texas Medical Center in Houston has raised fresh funding to support its goal of innovating new technologies for a healthier humanity.

Van Heron Labs, based in Huntsville, Alabama, raised a $1.1 million seed round led by FoodLabs, a European investor and venture studio for food, health, and climate. The startup taps into genomics, bioinformatics, artificial intelligence, and nanotechnology to improve how cells are cultured and harnessed with the mission to address critical industrial and global challenges with biotechnology.

“Van Heron Labs looks forward to using the generous support and funding from FoodLabs to advance our goal of making biological innovation better, faster, and cheaper," Rebecca C. Vaught, founder and CEO of Van Heron Labs, says in a news release. "By fueling the new bio-economy, we feel that our customers can optimize their systems and bring technologies to overcome critical global challenges to market." Read more.

Patrick Scateni, vice president of global sales of Hypertec

The hardware upgrades more than “double the effective horsepower of DUG’s Houston data center.” Photo via LinkedIn

An Australia-based company has launched a major upgrade of its Houston data center with sustainability in mind.

DUG Technology announced it's increased the company’s high performance computing (HPC) capabilities and also reinforced its commitment to sustainable innovative technology. The company announced its latest investment in 1500 new AMD EPYCTM Genoa servers, which has 192 cores and 1.5 terabytes of DDR5 memory each. Quebec-based IT solution company Hypertec provided the immersion-born hardware.

“DUG’s decision highlights the unmatched technological advancements and superior performance of Hypertec immersion-born products, which are setting a new benchmark in the industry,” Hypertec’s Patrick Scateni, vice president of global sales says in a news release. Read more.