Novo And Lilly Head For Diabetes Pricing Battle – Novo Nordisk A/S (NYSE:NVO) | Seeking Alpha

Novo Nordisk (NYSE:NVO) needs its once-weekly GLP1 agonist semaglutide to be a smash hit, and a head-to-head win against Lilly’s (NYSE:LLY) rival product Trulicity suggests that it could be.

FDA approval of semaglutide – which has a PDUFA date of December 5 – looks likely, but Novo will need to think carefully about its pricing strategy if it wants to prevail in an increasingly competitive sector (see table below).

The data from the Sustain 7 trial, along with last year’s cardiovascular outcomes study success, make semaglutide look sufficiently differentiated to command a premium. However, pricing pressure has hit diabetes more heavily than most other sectors, so this will be a delicate balancing act for Novo.

And the company will want to make the most of its advantage before the readout of Trulicity’s cardiovascular outcomes study, Rewind, next year – an event that now looks even more crucial for Lilly.

Read complete article here:

Novo And Lilly Head For Diabetes Pricing Battle – Novo Nordisk A/S (NYSE:NVO) | Seeking Alpha.