Eli Lilly’s new obesity treatment Zepbound now available in U.S. pharmacies
Eli Lilly announced on Tuesday that its newly approved obesity treatment, Zepbound, is now available in U.S. pharmacies. The drug, which is the latest entrant in the fast-growing market for weight-loss drugs, is expected to cost $550 a month for customers whose health insurance does not cover the drug, or half the list price.
Zepbound’s arrival in the market comes as the demand for weight-loss drugs is rapidly increasing, with the market expected to reach about $100 billion by the end of the decade.
Wall Street analysts are optimistic about the potential sales of Zepbound, with some expecting it to reach about $2 billion in 2024. According to Barclays analyst Emily Field, Novo Nordisk’s obesity drug Wegovy is expected to make $7.3 billion in sales next year.
Zepbound and Wegovy both belong to the class of GLP-1 agonists, originally designed to treat type 2 diabetes.
In an effort to make Zepbound more accessible, Eli Lilly has added the drug to the U.S. list of preferred medicines by major drug benefits company Cigna. Additionally, the company has launched a commercial savings card program, which could reduce the cost of the drug to as little as $25 for patients whose insurance covers it.
The U.S. Food and Drug Administration approved Zepbound in November, and Eli Lilly has been preparing for its launch after Thanksgiving.
With its release into the market, Zepbound has become one of the latest valuable assets for Eli Lilly, whose shares have surged 60% this year. The drugmaker now holds the tenth spot in the list of the world’s most valuable listed companies by market capitalization.
Reporting by Patrick Wingrove in New York and Manas Mishra and Khushi Mandowara in Bengaluru; Editing by Arun Koyyur and Alexander Smith