Novo Nordisk has discontinued development of two experimental obesity therapies—one a GLP‑1/GIP co‑agonist (code‑name NNC0519‑0130) and another targeting the CB1 receptor—as part of a major internal restructuring of its weight‑loss drug portfolio.
Though the Phase II trial for NNC0519‑0130 met its primary endpoint—showing statistically significant weight loss across all doses after 36 weeks—the company decided to halt further development due to broader portfolio considerations. Only a year prior, Novo had already scrapped a once‑monthly GLP‑1/GIP agonist, citing an undesirable clinical profile.
Additionally, Novo is pulling out of the CB1 receptor pathway program, including INV‑347 (formerly monlunabant), acquired via its 2023 acquisition of Inversago. That project suffered from safety concerns—including neuropsychiatric side effects—and followed a previous failed trial in diabetic kidney disease patients.
🧠 Implications & Strategic Context
1. Pipeline Weakening Amid Market Pressure
Despite achieving weight‑loss results, the GLP‑1/GIP project was halted, leaving a gap in Novo’s mid‑stage clinical portfolio. The only near-term replenishment may come via a triple‑agonist program acquired through a $200 million deal with Septerna in May, which is still in preclinical stages Fierce Biotech.
2. Competitive Downturn vs. Eli Lilly
Novo Nordisk’s growing reliance on legacy heroes Wegovy and Ozempic is under strain. Rivals, particularly Eli Lilly with Zepbound and tirzepatide, are capturing greater market share due to stronger efficacy and faster commercialization of new therapies
Market analysts note that Lilly may surpass Novo in obesity‑drug sales by 2026 despite Novo still leading in absolute revenue for now The Wall Street Journal.
3. Investor Sentiment & Share Price Challenges
Novo’s stock has dropped sharply—around 30% in just one week—after the company lowered its full‑year sales and profit forecasts for 2025. The decision to drop two obesity drug candidates further rattled investor confidence.
4. Restructuring & Leadership Shake‑Up
These drug discontinuations form part of a broader overhaul under incoming CEO Maziar Mike Doustdar (effective August 7, 2025). Novo is also reducing R&D footprint, cutting costs, and exploring new oral therapies, including amycretin – a dual‐agonist targeting GLP‑1 and amylin receptors. The company earlier struck a licensing deal with Deep Apple Therapeutics worth up to $812 million to accelerate development of non‑incretin cardiometabolic drugs and is pursuing a collaboration with Septerna worth up to $2.2 billion for oral candidates.
🧾 Summary Table
| Drug Program | Reason for Discontinuation |
|---|---|
| NNC0519‑0130 | GLP‑1/GIP co‑agonist; met Phase II primary endpoint but dropped due to portfolio reprioritization |
| INV‑347 (CB1 blocker) | Safety concerns including neuropsychiatric effects; legacy CB₁ mechanism with prior failures |
🔮 What’s Ahead?
- Novo’s mid‑ and late‑stage obesity pipeline appears thinner, with newer programs still in early stages.
- The success or failure of amycretin and other oral candidates will be crucial in determining if Novo can regain momentum versus Lilly.
- Investors will closely monitor further R&D cuts, partnerships, and legal actions as Novo navigates growing competition and pricing pressure.
