Novo-Nordisk A/S (NVO) surged 7.05% in pre-market trading following the U.S. Food and Drug Administration's approval of its weight-loss pill, Wegovy. The pill is a tablet formulation of the company's existing injectable drug and marks the first oral GLP-1 therapy approved for weight management in the U.S.
The approval is expected to significantly expand Novo Nordisk's market reach, as the pill addresses needle hesitancy and offers a more convenient treatment option for patients. The company plans to launch the pill in early January, with a competitive pricing strategy of $149 per month for starter doses. This development could help Novo Nordisk regain ground lost to rival Eli Lilly in the booming obesity-drug market.
Analysts predict the Wegovy pill could generate substantial sales, with TD Cowen estimating nearly $2 billion in revenue by 2030. The approval also comes as Novo Nordisk seeks to revitalize its business after a challenging year marked by slowing sales and intense competition.
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