Eli Lilly invests $1.8 bln in Ireland sites to scale up Alzheimer's, obesity drug production

Catalent

12/09/2024 10:30

Sept 12 (Reuters) - 
    Eli Lilly  LLY.N  is investing $1.8 billion across two
manufacturing sites in Ireland to boost production of its hugely
popular obesity drug and a newly approved treatment for
Alzheimer's, the drugmaker said on Thursday.
    The investments are part of Lilly's ongoing commitment to
expand production, especially for its top-selling diabetes and
obesity drugs, Mounjaro and Zepbound, respectively.
        The company has committed over $20 billion since 2020 to
build and expand its manufacturing facilities in the U.S. and
Europe.
        The company said it has invested roughly $800 million in
its new facility in Kinsale, Ireland, which began manufacturing
Lilly's obesity and diabetes medicines last year. Demand for
Zepbound has outpaced supply for most of this year.
    The rest of the investment will go towards expanding the
drugmaker's facility in Limerick, Ireland, which will focus on
producing active biologic ingredients for certain drugs,
including the Alzheimer's treatment. 
    Lilly's drug for Alzheimer's received U.S. approval in July
and is currently under review with the European and UK health
regulators.
    Danish rival Novo Nordisk  NOVOb.CO  has also invested
billions in manufacturing to ramp up supply of its popular
weight-loss drug Wegovy, including a $11 billion deal to take
over three sites from contract manufacturer Catalent. 
    In the U.S., Lilly quickly built a market share of around
40% since launching Zepbound in December. Analysts believe that
as Lilly increases its manufacturing capacity, the market could
be roughly split 50-50 between Lilly and Novo Nordisk by the end
of this year. 
    Some analysts forecast the market for new weight-loss drugs
could reach $150 billion annually by the early 2030s.

 (Reporting by Bhanvi Satija in Bengaluru; Editing by Janane
Venkatraman)
 ((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91
9873062788;))