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The Trump administration’s negotiation with Novo Nordisk A/S that slashes 71% off the list price of its blockbusters Ozempic and Wegovy for Medicare patients is running up against another government deal over the obesity and diabetes treatments.
While Eli Lilly stock has surged beyond a $1 trillion market capitalization, Novo Nordisk is having difficulty keeping up, both in growth and pipeline progression.
Until the end of March, Novo Nordisk will let people with prescriptions buy the first two doses of the drugs for $199 a month. Then the monthly cost will rise to $349.
The US government said Tuesday it negotiated a 71% discount off of the list price of Novo Nordisk A/S’s blockbuster drugs Ozempic and Wegovy for patients in Medicare, the federal health insurance program for the elderly.
A new study reported that Novo Nordisk spent $7.5 million over 2 years on more than 15,000 internet keywords — many focused on weight loss — that drove 2.4 million paid visits to its Ozempic.com website even though Ozempic (semaglutide) isn’t approved by the FDA for weight loss.
Pharma companies are facing pricing pressure from several directions, including from the U.S. Medicare negotiations
Danish drugmaker Novo Nordisk A/S was at the forefront of the weight-loss injection boom as people discovered that its Ozempic shot, originally developed to treat diabetes, could help trim their waistlines.