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Wegovy maker Novo Nordisk will spend more than £4.9bn to expand its production in Denmark as it races to meet surging demand for weight-loss drugs.
The pharmaceutical company said it plans to invest at least 42bn Danish kroner (£4.9bn) to boost supplies of its Wegovy weight-loss treatment and Ozempic diabetes jab – which also has obesity-fighting side effects.
The investment comes amid a boom in demand for the drugs, as countries race to get hold of supplies to help ease pressure on health systems.
In the UK, where around 64pc of adults are either obese or overweight, Wegovy prescriptions have recently been rolled out on the NHS.
An increase in the number of orders globally has prompted pharmaceutical bosses to suggest the weight-loss drugs market could be worth around $90bn (£74bn).
Novo Nordisk has been struggling to meet demand for its treatments, and earlier this year moved to limit supplies in the US, which is its biggest market.
Chief financial officer Karsten Munk Knudsen earlier this month said: “Given the unmet need in society for safe and efficacious obesity treatments, we will not be able to supply to the full global market for a number of years.”
On Friday, Novo said its latest investment was part of efforts to “expand as fast as possible by utilising all the infrastructure, knowledge and competencies we already have”.
Henrik Wulff, executive vice president of product supply, quality and IT, said: “Our continued investment in global capacity demonstrates the belief we have in our current and future product portfolio and its relevance for people living with serious chronic diseases.”
Novo has been an early mover in the weight-loss market but other pharmaceutical companies have entered the race in recent months.
Earlier this week, AstraZeneca announced a deal worth up to £1.6bn to develop a new, potentially cheaper weight-loss pill – rather than an injection.
AstraZeneca chief executive Pascal Soriot said the treatment would be part of the “next wave” of weight-loss drugs.