COPENHAGEN: Novo Nordisk, the Danish pharmaceutical company, has announced $6 billion (42 billion kroner) investment to expand its manufacturing facilities in order to address the surging demand for its anti-diabetes and anti-obesity treatments.
The company’s drugs, Ozempic and Wegovy, have propelled Novo Nordisk to become the most valuable company in Europe by market capitalization.
Despite their success, the company has faced challenges in meeting the high demand for these treatments, both of which rely on Novo Nordisk’s GLP-1 analogues—a medicine that enhances the secretion of insulin-stimulating intestinal hormones.
The investment will primarily focus on expanding existing manufacturing facilities in Kalundborg, Denmark, catering to the current and future product portfolio targeting serious chronic diseases.
Novo Nordisk’s statement emphasized the creation of additional capacity across the global value chain, covering the manufacturing of active pharmaceutical ingredients (API) to packaging.
A new “multi-product facility” is set to be constructed as part of this initiative, and the investment is anticipated to generate 800 new jobs—700 in the new API facility and 100 in a new packaging facility.
This strategic investment, including enhancements to GLP-1 products, aims to bolster Novo Nordisk’s capability to meet evolving market demands. Notably, Ozempic, recognized for its popularity on social networks due to perceived slimming properties, is an injectable anti-diabetic treatment.
In contrast, Wegovy, sharing the same active ingredient as Ozempic but in a different dose, has received approval from US regulators for treating obesity.
The company’s financial performance reflects its strong standing, with a reported 56 percent increase in third-quarter profits, reaching 22.5 billion kroner from July to September. Sales during the same period saw a notable rise of 29 percent, reaching 58.7 billion kroner.
