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Eli Lilly (NYSE:LLYPopular obesity treatment Zepbound could face direct competition from Viking TherapeuticsNASDAQ:VKTX), with the latter expected to launch its flagship weight loss product VK2735 within the next few years, according to data analytics firm GlobalData. He said this week.
The prediction comes after the clinical-stage biotech, with second-quarter results announced last month, indicated an accelerated timeline for a Phase 3 trial of VK2735, a dual GLP-1/GIP receptor agonist similar to LLY’s Zepbound, also known as tirzepatide.
Following written feedback from the FDA, San Diego, California-based Viking (VKTX) announced that VK2735, which already achieved positive mid-stage data earlier this year, will move into a Phase 3 clinical trial. The update signals an accelerated timeline compared to its previous position to conduct another mid-stage trial.
“Assuming VK2735 enters Phase 3 clinical trials next year, it could be one of the next treatments to enter the market, competing directly with Eli Lilly’s tirzepatide due to its similar mechanism of action,” said Constanza Alciati, a pharmaceutical analyst at GlobalData.
Viking (VKTX), which expects to meet with the FDA later this year to discuss plans, “could save hundreds of thousands of dollars by advancing directly to Phase 3 clinical trials, potentially reaching the market earlier than expected,” Alchiati added.
However, emerging weight-loss drug manufacturers will face new challenges as their established competitors seek to expand their brands of obesity treatments.
Novo Nordisk (NVO) has already received FDA approval to market its obesity treatment, Wegovy, to reduce cardiovascular events such as heart attacks in overweight and obese patients.
After tirzepatide showed similar cardiovascular benefits in a Phase 3 trial, Eli Lilly announced this week that it will meet with regulators later this year to present the data.
It will be interesting to see that. Whether it is new “Therapies entering the obesity market will follow Novo Nordisk’s approach of seeking to expand brands or choose alternative strategies to enhance their competitiveness,” Alchiati concluded.