Jan 12 (Reuters) – Novo Nordisk CEO Mike Doustdar said on Monday as many as 1.5 million patients in the U.S. may be using compounded versions of blockbuster GLP-1 drugs, underscoring how cheaper, unapproved alternatives have captured a significant share of demand for obesity treatments.
Speaking on a panel at the J.P. Morgan Healthcare Conference, Doustdar said compounders understood consumer needs better than the pharmaceutical industry initially did, allowing them to attract patients who were unable or unwilling to pay for branded medicines.
Novo, the maker of the obesity drug Wegovy, has repeatedly warned about the risks of compounded and knock-off versions of GLP-1 medicines, often sold online and marketed directly to consumers.
Doustdar said many patients were likely drawn to compounded GLP-1s priced around $199 per month, compared with branded products that can cost several hundred dollars without insurance coverage.
“It’s not because this one-and-a-half million patients like to have unsafe, knock-off versions of our products… they (compounders) grabbed a part of the consumers that simply were price sensitive to the whole thing.”
Earlier in January, Novo launched a daily oral version of Wegovy in the U.S. at a starting cash price of $149 per month, hoping to attract consumers who cannot get insurance coverage and revive its fortunes in the competitive weight-loss market.
Doustdar, however, said the company distinguishes between legitimate online pharmacies and telehealth providers, which it supports, and a separate group of sellers offering counterfeit products.
“There is this surprising element of a group of companies being able to pass FDA, come and sell unsafe, knock-off products in this market,” he said, adding that Novo continues to fight against such practices.
He said the shift toward compounded drugs, essentially copies of the name-brand drugs, was a key learning for Novo as it reassesses pricing and access strategies for its obesity treatments.
(Reporting by Mrinalika Roy and Maggie Fick; Editing by Shilpi Majumdar)
