Novo Nordisk launches Wegovy weight-loss pill in US, triggering price war

Summary

The first pill version of the blockbuster GLP-1 weight loss drugs has been launched in the US by Novo Nordisk at a lower cost than jab varieties, accelerating a price war in the sector.The Danish pharmaceutical company said on Monday that its once-a-day Wegovy pill, which received approval from the US regulator just before Christmas, was now available in the country.It launched the drug – the first and only pill on the market that imitates the GLP-1 hormone to reduce appetite – at significantly lower prices than injectable versions.Novo, which is known for its hit Wegovy and Ozempic injections for obesity and diabetes respectively, said the launch “opens new possibilities for the more than 100 million Americans living with obesity”.Self-paying patients can buy the pill for $5 (£3.70) a day, or $149 a month, for the starting dose of 1.5mg. Apart from being more affordable, the new version is expected to have wider appeal by being needle free and easier for the patient to fit into their routine.The 4mg dose will also be available for $149 a month until 15 April, then $199, while the highest doses cost $299 a month. Patients with insurance pay from $25 a month.Matt Weston, a pharmaceutical analyst at UBS, said the price was lower than expected. US list prices for weight-loss jabs are about $1,000 a month or more, although Novo Nordisk started selling its Wegovy injection at $349 a month to cash payers in November.Novo Nordisk’s share price rose by more than 4% on Monday on news of the launch, but is still down by 44% over the past year amid fierce competition from US rival Eli Lilly’s jabs Mounjaro and Zepbound.The Danish company, once the most valuable in Europe, hopes the pill will help it claw back market share after it issued several profit warnings, cut thousands of jobs and appointed new management last year.Both Novo and Eli Lilly have reduced prices of their jabs for people buying them for cash, rather than using health insurance.The Wegovy pill has only been a...