Novo Nordisk A/S Sponsored ADR Class B (NVO.US) plans to expand its weight loss drug market in Japan, targeting the blue ocean of self-paying patients with a "curve entry" strategy.

Novo Nordisk A/S Sponsored ADR Class B (NVO.US) is seeking to expand the accessibility of obesity treatment in Japan by targeting patients willing to self-fund the use of GLP-1 drugs like Wegovy. The Danish pharmaceutical company will work with doctors and patients to explore self-funded treatment pathways. Despite the increasing global demand for GLP-1 obesity drugs, strict reimbursement regulations and limited prescription authority in Japan have hindered the widespread use of such drugs. Keisuke Kotani, head of Novo Nordisk A/S Sponsored ADR Class B's Japan business, said at a briefing in Tokyo on Thursday, "For various reasons, many people are unable to access treatment." Only a small number of eligible patients in the country have received treatment, creating a gap between clinical demand and broader market demand. Novo Nordisk A/S Sponsored ADR Class B's initiative to promote self-funded healthcare reflects wider industry efforts to expand treatment in underserved markets. Japan has strict criteria for medical insurance coverage of the blockbuster drug semaglutide, limiting the number of potential treatable patients and becoming a bottleneck in the country's obesity treatment market. Various regulatory barriers exist before doctors can prescribe GLP-1 drugs, keeping drug accessibility strictly limited. Kotani stated, "The challenge lies in how to best serve patients in any way possible." Wegovy has been available in Japan since February 2024, with only about 1,200 institutions out of over 100,000 hospitals and clinics in the country able to provide this drug. According to the regulations of the Japanese Ministry of Health, Labor and Welfare, patients must meet strict clinical criteria: a body mass index (BMI) of 35 or higher, or a BMI of 27 with related symptoms, and inadequate improvement after months of dietary control and exercise. Eli Lilly's Zepbound also faces similar restrictions. As a result, the rate of drug penetration remains limited. According to Novo Nordisk A/S Sponsored ADR Class B, there are currently about 14,000 people in Japan receiving obesity drug treatment, only a small fraction of the approximately 6 million eligible for treatment and the broader population of 26.6 million obese individualsdefined as having a BMI over 25. The pharmaceutical company hopes to provide more accessibility outside of the medical insurance system to bridge this gap. With the promotion of obesity and rare disease therapies, Novo Nordisk A/S Sponsored ADR Class B's Japan business unit saw a 5.4% increase in revenue last year. The company aims for double-digit growth this year and plans to double the number of patients treated with its product portfolio by 2030. Kotani emphasized, "We do not support any inappropriate self-funded medical practices for cosmetic purposes. We support maximizing accessibility for patients in need of treatment." Novo Nordisk A/S Sponsored ADR Class B's efforts in Japan may follow the direct-to-consumer sales path it established in the United States. The company did not disclose specific cost details; on its U.S. platform Novocare, the injection form of Wegovy starts at $199 per month, while the oral version starts at $149 per month. Lilly has started selling its weight loss drug to U.S. consumers since 2024. In Japan, Novo Nordisk A/S Sponsored ADR Class B plans to increase awareness through public health campaigns. This month, the pharmaceutical company signed an agreement with the Japan Society for the Study of Obesity to enhance clinical understanding of the disease, and is collaborating with local governments to address obesity at the community level.