On Wednesday, Eli Lilly received approval from the US Food and Drug Administration to market the anticipated obesity drug based on the GLP-1 analog Tirzepetide.

The product, which will be marketed under the name ”Zepbound”, is expected to hit the market before the New Year and will be cheaper than Novo Nordisk’s best-selling Wegovy.

At least at list price.

”Zepbound is expected to be available in the United States by the end of the year in six doses at a price of $1,059.87, which is approximately 20 percent lower than the semaglutide 2.4 milligram injection for weight loss,” says a press release from Eli Lilly.

The six doses will range from 5 to 15 milligrams.

However, the American pharmaceutical company itself offers that the list price ”typically does not” reflect the final price for patients due to insurance payments and rebates.

Bloomberg Intelligence reports that 80% of US patients who currently receive Novo Nordisk’s Wegovy pay no more than $25 per prescription for the drug, which is in line with the commercial plans for Zepbound.

”This emphasizes the need for broad coverage, which is likely to create the same discounting pressure seen in diabetes. The implied discount for Wegovy was 55% in the first nine months,” it says.

Best-selling product ever

According to Reuters, Morningstar analyst Damien Conover points out that Novo Nordisk’s monthly price for Wegovy in the US is between $700 and $900, according to insurance broker Aon’s guide for employers.

The US Food and Drug Administration’s approval of Zepbound for the treatment of adults with a BM greater than 30 or greater than 27 in patients with a related disorder included the expected package insert.

”I think it sets the stage for Zepbound to be one of the best-selling drugs of all time,” says Damien Conover.

Back in March, The Wall Street Journal highlighted Tirzepatide and Julio Rosenstock, clinical professor at the University of Texas Southwestern Medical Center, called Novo Nordisk’s Wegovy a gorilla in the treatment of obesity, but highlighted Elli Lilly’s drug as the better drug.

”Tirzepatide is really King Kong,” he told The Wall Street Journal.

In clinical studies, the average patient over 17 months lost 48 pounds when taking Tirzepatide at the highest dose of 15 milligrams, while patients taking 5 milligrams lost 34 pounds.

Meanwhile, the study of 2,539 patients showed that one in three on the highest dose actually lost 58 pounds during the period, which was equivalent to 25% of their body weight.

This statistic, which also showed an average weight loss of 22.5% over 72 weeks, surpasses Wegovy, who has delivered an average weight loss of 17.0% in his studies.

Better than Wegovy

At Truist, they point out that the lower list price will be ”supportive” of the commercial potential because the cost of treatment is a factor for patients.

The financial house is also among the more optimistic about sales of Tirzapetide, which is also approved for the treatment of type 2 diabetes under the name ”Mounjaro”, with expected peak sales of $44 billion against the Wall Street consensus of $22 billion.

Truist also believes that Zepbound performs better on both efficacy and safety than Wegovy, which should help Eli Lilly gain market share in the US, where 40% of the population is considered overweight or obese.

Similarly, Novo Nordisk’s Wegovy was first launched for the treatment of type 2 diabetes under the name ’Ozempic’.

(Translated using DeepL with additional editing by Mads Oddershede)