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Metsera, the US-based weight problems drug developer, ended what was turning right into a bitter struggle between two of the most important pharmaceutical corporations on the earth when it accepted Pfizer’s US$10 billion acquisition provide over Novo Nordisk’s upgraded bid.
Pfizer, which has been struggling since post-COVID days, is attempting to get a foothold within the rising weight-loss market. Based on Morgan Stanley, weight problems drug gross sales might develop from $15 billion final yr to $150 billion by 2035.
Novo and Eli Lilly have been the 2 corporations which have dominated the market. Novo is the maker of Ozempic, a semaglutide that may be a GLP-1 receptor agonist. Eli Lilly is available in the market with a tirzepatide, below the model identify Mounjaro. Novo has been attempting to recuperate its once-commanding place in weight problems medicine.
Pfizer made the primary transfer in September with a bid that was mentioned to be within the area of US$7.3 billion. Novo jumped into the image when it made an unsolicited provide of US$9 billion final week.
Underneath the phrases of the money deal, Pfizer pays $65.60 a share upfront and a contingent worth proper price as much as $20.65 a share, Metsera mentioned Friday.
The bidding warfare noticed Metsera’s share acquire practically 60 per cent in a single week, sending its market worth to US$8.75 billion.
On Friday, Metsera mentioned in an announcement: “The Metsera Board of Administrators has decided that the revised phrases signify the very best transaction for shareholders, each from the attitude of worth and certainty of closing.
“As well as, in gentle of current circumstances, together with the receipt by Metsera of a name from the US Federal Commerce Fee concerning potential dangers from continuing with the proposed Novo Nordisk construction below US antitrust legal guidelines, the Metsera Board of Administrators has additional decided that the transaction proposed by Novo Nordisk presents unacceptably excessive authorized and regulatory dangers to Metsera and its stockholders in comparison with the proposed merger with Pfizer, together with dangers that the preliminary dividend could by no means be paid or could also be subsequently challenged or rescinded.
“Metsera stays dedicated to the merger with Pfizer, which Metsera believes will ship speedy and substantial worth to Metsera stockholders, and the events count on to shut promptly following the stockholder assembly on November 13.”
Metsera’s experimental weight problems medicine, MET-097i, a GLP-1 injectable, and MET-233i, which mimics the pancreatic hormone amylin, are projected to succeed in $5 billion in mixed peak gross sales, in accordance with Leerink Companions analyst David Risinger.
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