(Reuters) -OPKO Health and Entera Bio are partnering to develop a once-daily pill for patients with obesity and other disorders, the companies said on Monday.
WHY ITโS IMPORTANT
Drug developers are vying for a share of the weight-loss market, which is estimated to be worth about $150 billion by early 2030 and is currently led by Novo Nordiskโs Wegovy and Eli Lillyโs Zepbound.
Companies such as Pfizer, Amgen, Viking Therapeutics, Altimmune and Structure Therapeutics are aiming to join the bandwagon.
CONTEXT
OPKO and Entera are also planning to use the pill for metabolic disorders that affect the bodyโs processing of nutrients and fibrotic disorders where there is scarring of tissues and organs.
The companies will combine Enteraโs technology and OPKOโs GLP-1 agonist OPK-88006 to develop the treatment.
BY THE NUMBERS
OPKO and Entera will be responsible for 60% and 40% of the drugโs development costs, respectively.
In connection with the execution of the agreement, OPKO purchased 3,685,226 ordinary shares of Entera for $2.17 per share, representing a premium of 15% to the stockโs last close on Friday.
MARKET REACTION
U.S.-listed shares of Israel-based Entera Bio were up more than 10% in premarket trading.
(Reporting by Christy Santhosh in Bengaluru; Editing by Shinjini Ganguli)
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