Novo Nordisk (NVO) announced on Thursday that it will pursue legal and regulatory actions in response to Hims & Hers Health (HIMS) plans to introduce low-cost compounded versions of its oral obesity treatment, the Wegovy pill.
Earlier in the day, shares of the telehealth platform added ~13% in the premarket after the company announced plans to launch cheaper compounded versions of the Wegovy pill at a steeply discounted price compared to the branded product, News.Az reports, citing foreign media.
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After Reuters first reported about HIMS’s plans, ADRs of the Danish drugmaker lost ~5%, extending a multi-day selloff driven by an underwhelming outlook issued earlier this week.
The report came roughly a month after the Danish drugmaker rolled out the weight loss pill in the U.S. for cash-paying customers at $149 for a monthly supply of 1.5 mg and 4 mg doses, following its FDA approval in December.
However, HIMS plans to roll out its version at an introductory price of $49 per month, indicating a roughly $100 discount to the brand-name product. Following the one-time payment, HIMS members with a 5-month subscription plan can pay $99 per month compared to the $199 Novo (NVO) charges.
HIMS said that its copycat version, which contains the same active ingredient, semaglutide, as the Wegovy pill, can be customized to patients who seek to manage side effects and those who are averse to needles.
“The action by Hims & Hers is illegal mass compounding that poses a significant risk to patient safety,” Novo (NVO) said in a statement. “Novo Nordisk will take legal and regulatory action to protect patients, our intellectual property, and the integrity of the US gold-standard drug approval framework.”
HIMS already markets compounded versions of Novo’s (NVO) weight loss injectable Wegovy, even as the GLP-1 is no longer included in the FDA’s drug shortage list.
“We’re excited to find ways to continue bringing branded treatments to the platform across specialties. More choice on the platform is the best thing for customers everywhere,” said Hims & Hers (HIMS) CEO Andrew Dudum.
