Pfizer halts development of twice-daily weight loss pill
Pfizer, the pharmaceutical giant, has announced the discontinuation of the development of the twice-daily version of its experimental weight loss pill. This decision came after obese patients involved in the mid-stage clinical study reported having difficulty tolerating the drug despite experiencing weight loss. The company observed a high rate of mild and gastrointestinal adverse side effects among the patients, leading many of them to discontinue drug use.
Twice-daily danuglipron formulation halted
Pfizer declared that at this time, the twice-daily danuglipron formulation will not advance into Phase 3 studies, but the company still aims to present data from a phase two trial on a once-a-day version of the drug in the first half of 2024. This data will inform the company’s next steps, including a potential phase three study on the once-daily pill, which is viewed as the more competitive form compared to the twice-daily version.
Market reaction and Pfizer’s challenges
Shares of Pfizer fell by 4% in premarket trading upon disclosing the trial results, marking a significant blow to Pfizer’s hopes of capturing a share of the booming weight loss drug market. The company anticipated a market worth up to $10 billion, aiming to bounce back from plummeting demand for its Covid products and a sharp share price decline this year. However, investors have been pessimistic about Pfizer’s potential in the weight loss drug space after the company scrapped a different once-daily pill in June and continued with the less attractive danuglipron.
Wall Street’s expectations
The tolerability issues with the twice-daily pill were in line with some analysts’ predictions. Leerink Partners analyst David Risinger noted that Pfizer’s highest daily dose, which is far higher compared to Eli Lilly’s once-daily pill, may lead to more adverse effects, as observed in the phase-two trial.
Pfizer’s challenge to compete in the weight loss drug market
Challenges in the weight loss drug market persisted for Pfizer. Analysts highlighted that Pfizer’s weight loss pills need to show a substantial weight reduction in the “mid-teens” percentages to be competitive with Eli Lilly’s successful trial results, which indicated up to 14.7% of body weight loss. Pfizer now faces the daunting task of catching up with dominant players in the market, such as Eli Lilly and Novo Nordisk, which are on the fast track to developing more convenient pill versions of their blockbuster weight loss and diabetes injections.
Closing thoughts
The monumental decision to discontinue the development of the twice-daily weight loss pill has put Pfizer further behind its competitors. The weight loss pill was one of the company’s strategies to rebound financially and get back on track despite challenges faced throughout the year. All eyes will be on Pfizer as Wall Street awaits the release of phase two trial data on the once-daily version of the drug in the first half of 2024.
