The CEO of Novartis mentioned Wednesday that the Swiss pharmaceutical large doesn’t plan to enter into the “frenzy” of weight reduction medicine, preferring as an alternative to deal with areas the place it will possibly construct a “distinctive place.”
Chatting with CNBC, Vas Narasimhan mentioned that the corporate was researching remedies that cope with the secondary results of weight reduction, however that it doesn’t plan to compete immediately with dominant weight problems drugmakers Novo Nordisk and Eli Lilly.
“I feel simply to comply with on the frenzy now wouldn’t be the fitting transfer for Novartis,” he instructed CNBC’s “Squawk Field Europe.”
“With weight problems proper now, now we have two very entrenched massive gamers, and I feel for future entrants you must discover one thing new, some kind of special approach that both reduces the nausea and the vomiting or offers sufferers the power to lose their weight and retain their muscle,” he mentioned, highlighting current work in such areas inside Novartis’ analysis labs.
Weight problems drug competitors has been ramping up over current months, with main gamers reminiscent of Roche and Pfizer getting into the market, which is estimated to be price as much as $200 billion inside the coming decade.
Nonetheless, Narasimhan mentioned his firm was focusing on areas “we all know we are able to win.” These embody remedies for ailments reminiscent of Alzheimer’s, Huntington’s and Parkinson’s, in addition to numerous most cancers therapies.
Specifically, he mentioned he noticed a sizeable market alternative inside its rising radioligand therapies (RLTs), a most cancers remedy which targets cancerous cells. To this point, the corporate has made two acquisitions and launched two medicines inside the house.
“That is an space the place we predict we may construct a $20 billion-plus enterprise over time and hopefully construct a novel place quite than chasing the opposite markets,” he mentioned.
“These are locations the place I really feel like now we have the fitting to win,” he added.
His feedback come after the corporate acquired approval Tuesday from the U.S. Meals and Drug Administration for its Kisqali metastatic breast most cancers drug for use to deal with sufferers with earlier levels of the illness.
Novartis shares had been down 0.3% by 9:30 a.m. London time Wednesday, after a quick pop on the session open.
