Eli Lilly (LLY) shares turned lower in the premarket on Tuesday after its rival Novo Nordisk (NVO) announced plans to cut the list prices of its GLP-1 medications, Wegovy, Ozempic, and Rybelsus, in the U.S., effective January 1, 2027.
The revised list price, or wholesale acquisition cost, of Wegovy and Ozempic will indicate a 50%–35% reduction from the current list price, the Danish drugmaker said, adding that pricing changes are applicable for both injectable and oral versions of the drug.
Specifically, the decision will bring the list prices of the Wegovy injection and pills, as well as the Ozempic injection and Rybelsus pills, to $675 per month at a time when Novo (NVO) is trailing Lilly (LLY) in the lucrative market for obesity drugs.
“This decision applies to all doses of these medicines and reflects Novo Nordisk’s commitment to enhancing affordability for patients and both public and private payers dealing with the complexities of the evolving US healthcare system,” the company said.
The pricing changes are expected to especially benefit patients whose out-of-pocket costs are tied to list prices, Novo (NVO) said, adding that the lower prices will not impact direct-to-consumer, self-pay prices.