Pfizer and Novo Nordisk battle for obesity market dominance

Pfizer has rejected an unsolicited proposal from Novo Nordisk A/S to acquire Metsera Therapeutics, following its $4.9bn acquisition of the US-based obesity biotech announced last month.

Under the proposed deal, Novo Nordisk would acquire Metsera for a significantly larger $6.5 billion, adding complexity to increasingly competitive and lucrative obesity market, in which pharma giant Eli Lilly is also a major player.

Pfizer argued that Novo’s proposal “is an attempt by a company with a dominant market position to suppress competition in violation of law”, and cited the company is prepared to pursue all legal avenues to enforce its rights under its agreement.

Novo’s recent bid is subject to review by Metsera’s board of directors. However, in the original discussions regarding its acquisition, the Metsera Board selected Pfizer over other bidders because none “could complete an acquisition of 100 percent of Metsera’s equity with the same level of certainty or on the same expected timeline as Pfizer.”

Jay Patel, Senior Pharma Analyst at GlobalData, asserted the contention between Pfizer and Novo “underlines big pharma’s confidence in the potential of Metsera’s therapy pipeline”, particularly its phase II weekly and monthly injectable GLP-1 drug MET-097i as a potential best-in-class injectable.

Patel alleged that Novo Nordisk’s “bold play may be motivated by its receding share prices, with rival Eli Lilly eclipsing it in the US obesity drug market in 2025 to take 51 percent market share and CagriSema’s underwhelming data dampening Novo’s future pipeline prospects.

“However, Pfizer is in an even more pressing position within the obesity market, following the failure of its most advanced obesity therapy, the GLP-1 agonist danuglipron.

“The outcome depends on whether Pfizer can successfully renegotiate terms during the four-day period, potentially with a more lucrative offer, or whether Metsera’s Board maintains its determination that Novo Nordisk’s offer is superior despite the legal and regulatory risks Pfizer has highlighted.”