The CEO of Novartis said on Wednesday that the Swiss pharmaceutical giant doesn’t plan to take part in the “hype” surrounding weight-loss drugs, but would quite concentrate on areas where it may possibly construct a “unique position.”
Vas Narasimhan told CNBC that the corporate is researching treatments that address the unwanted side effects of weight reduction, but doesn’t plan to compete directly with leading obesity drug makers. Novo Nordisk And Eli Lilly.
“I think simply following the hype now would not be the right move for Novartis,” he told CNBC's “Squawk Box Europe.”
“In the obesity space, we currently have two very established major players and I think future market entrants will have to find something new, a new approach that either relieves the nausea and vomiting or gives patients the opportunity to lose weight and maintain their muscle,” he said, pointing to ongoing work by Novartis research laboratories in these areas.
Competition for obesity drugs has increased in recent months, with major players corresponding to Roche And Pfizer The market is predicted to achieve a worth of as much as $200 billion over the subsequent decade.
However, Narasimhan said his company is targeting areas “where we know we can succeed,” including treating diseases corresponding to Alzheimer's, Huntington's and Parkinson's, in addition to various cancer therapies.
In particular, he saw a substantial market opportunity within the growing Radioligand therapies (RLTs), a cancer treatment that attacks cancer cells. To date, the corporate has made two acquisitions and launched two drugs on this area.
“We believe that over time we can build a $20 billion-plus business in this space and hopefully establish a unique position for ourselves rather than chasing other markets,” he said.
“These are places where I think we have the right to win,” he added.
His comments come after the corporate permit Tuesday from the U.S. Food and Drug Administration for its metastatic breast cancer drug Kisqali to treat patients in earlier stages of the disease.
Novartis After a temporary upswing on the opening of the session, shares had fallen 0.3 percent by 9:30 a.m. London time on Wednesday.
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