Benzinga - by Benzinga Neuro, Benzinga Staff Writer.
Maker of ‘miracle’ weight loss drugs Ozempic and Wegovy, Novo Nordisk A/S (NYSE:NVO) has announced the acquisition of three fill-finish sites from Novo Holdings A/S for $11 billion. The acquisition is part of a larger deal where Novo Holdings is set to acquire Catalent, Inc. (NYSE:CTLT), a global contract development and manufacturing organization.
What Happened: As announced in a press release on Monday, Novo Nordisk’s acquisition of the fill-finish sites from Novo Holdings will enable it to expand its manufacturing capacity for diabetes and obesity treatments.
The three sites, located in Anagni, Italy, Brussels, Belgium, and Bloomington, Indiana, specialize in the sterile filling of drugs. They currently employ over 3,000 people and have ongoing collaborations with Novo Nordisk.
Novo Nordisk’s acquisition of the sites is expected to increase its filling capacity from 2026 onwards gradually. The upfront payment of $11 billion will be mainly debt-financed and is not expected to impact the company’s share buyback program.
Why It Matters: The acquisition of the fill-finish sites aligns with Novo Nordisk’s strategy to reach more people living with diabetes and obesity with current and future treatments. This move comes on the heels of the company’s recent collaborations to develop new treatment approaches for obesity management and chronic liver diseases.
Notably, Novo Nordisk’s CEO, Lars Fruergaard Jørgensen, had previously expressed confidence in Catalent’s manufacturing capabilities despite challenges faced by its Brussels facility in meeting U.S. sterile safety standards for the weight-loss drug Wegovy.
Read Next: Biden Administration To Send Pharma Companies Opening Offers For Medicare Program’s First Ever Drug Price
Photo via Shutterstock
Engineered by
Benzinga Neuro, Edited by
Pooja Rajkumari
The GPT-4-based Benzinga Neuro content generation system exploits the
extensive Benzinga Ecosystem, including native data, APIs, and more to
create comprehensive and timely stories for you.
Learn more.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.