GLP-1 wars: Wegovy maker challenges knock-off weight loss drug companies
GLP-1 wars: Wegovy maker challenges knock-off weight loss drug companies
Ken Alltucker, USA TODAYSun, February 22, 2026 at 10:03 AM UTC
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Many Americans seeking popular weight-loss drugs like Wegovy and Zepbound turn to telehealth companies like Hims & Hers for cheaper, compounded alternatives.
Those compounded drugs were only supposed to be broadly offered while the popular brand-name drugs were in shortage. The Food and Drug Administration declared the shortage over in 2025, yet telehealth companies still sell compounded versions of the anti-obesity drugs, tailoring the medications to different dosages and often selling them for less than what pharmaceutical companies charge for the brand-name drugs.
Wegovy maker Novo Nordisk recently sued Hims & Hers, an action the telehealth provider called a "blatant attack" on the Americans who rely on compounded weight-loss drugs.
About 1 in 8 Americans take a GLP-1 drug for weight loss, diabetes or other conditions, according to KFF, a health policy nonprofit. And many customers whose insurance plans don't cover the medications struggle to afford these drugs.
Novo Nordisk and Eli Lilly have cut prices for consumers whose insurance plans don't cover these medications. These cash-paying customers can buy Wegovy or Zepbound from the pharmaceutical companies, telehealth portals, retailers such as Costco and Sam's Club or TrumpRx, the Trump administration's direct-to-consumer drug sales website.
But following Novo's lawsuit and federal drug regulators threatening enforcement action, will companies curtail sales of compounded, less expensive versions of popular weight loss drugs such as Wegovy and Eli Lilly's Zepbound?
"We expect all compounders who are engaged in mass compounding to take note of this legal action," said John Kuckelman, Novo Nordisk's group general counsel told USA TODAY. "We expect all of them to take note of what could be the potential consequences of their continued behavior."
Why did Novo Nordisk sue now?
Novo Nordisk sued Hims & Hers on Feb. 9, alleging the telehealth company infringed on Novo's patent by selling versions of Wegovy.
The lawsuit came less than one week after Hims & Hers announced plans to sell a compounded version of Wegovy at an introductory price of $49 per month. Days later, after the FDA threatened action against Hims & Hers, the company dropped its plans.
Novo Nordisk officials said Hims & Hers announcement to launch a pill version of Wegovy was the final straw. Unlike the injectable versions, there was never a shortage of the Wegovy pill and no need to market a compounded version, Novo Nordisk officials said.
"There's no excuse. There's no claim that it's arising out of a shortage," Kuckelman said. "And frankly, it was outrageous. Not only is it violating our patents, which we take very seriously, but it's really a direct challenge to the entire drug approval framework in the United States."
Hims & Hers officials declined an interview request but said in a statement that treating obesity requires "precision and personalization." The company still sells injectable GLP-1 medications.
Hims & Hers said it has about 2.5 million subscriber across all of its health offerings. GLP-1 customers represent a "small minority" of its subscriber based, the company said.
"Restricted access, excessive costs, and a standardized approach are not prerequisites for high-quality care," Hims & Hers said. "Our rigorous, customer-first approach strips away the friction of traditional healthcare, putting the power of health ownership back where it belongs: with the consumer.”
Wegovy is the only FDA-approved GLP-1 obesity pill
Novo is the only company to gain FDA approval for a GLP-1 weight loss pill. That gives Novo an exclusive window to sell the pill to consumers who want to lose a weight without using an injectable version of the medication.
"The oral version (of Wegovy) is a very hot sale opportunity for Novo Nordisk," said Howie Forman, director of the MD/MBA program at Yale School of Management. "Certainly, oral dosing is preferable to injections for an awful lot of people."
During an earnings conference call with investors in February, Novo executives stressed the importance of a fast launch for the company's oral medications. They said more 50,000 weekly prescriptions of oral Wegovy were being filled. And 9 in 10 consumers who filled prescriptions in the opening weeks paid with cash.
The starting price for the Wegovy pill is $149, or about $200 less than injectable version of the medication.
Novo won't have this exclusive sales opportunity forever. Eli Lilly's weight-loss pill, orforglipron, could gain FDA approval in April.
Forman said consumers already are likely benefiting from falling prices due to robust competition. While both Novo and Lilly's weight-loss drugs carry list prices of more than $1,000, consumers with insurance coverage typically pay far less in copays or other out-of-pocket expenses.
A survey by benefits consultant Mercer found 49% of large employers covered GLP-1 medications in 2025, up from 41% in 2023.
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Novo and Lilly also have both cut prices for cash-paying customers. Lilly announced customers who buy a month's supply of 2.5 mg single-dose vials of Zepbound will pay $299, a $50 reduction from the previous price of $349. The 5 mg vials cost $399.
Novo dropped the price for injectable Wegovy and most Ozempic dosages to $349 a month, down from $499 a month, for consumers who purchase the medication directly from the drugmaker, telehealth partners or retail pharmacies.
"The actual price to the consumer for all of these drugs has come down a lot in the last year," Forman said. "Every expectation is (prices) will continue to come down."
Federal drug regulators also pressure compounders
After Hims & Hers first announced plans to offer a version of the Wegovy pill, the FDA said it would take "decisive steps" against companies using GLP-1 ingredients for mass market sales of compounded drugs.
"These actions are aimed to safeguard consumers from drugs for which the FDA cannot verify quality, safety, or efficacy," the FDA said.
1 / 0GLP-1 medication and weight lossActress Rebel Wilson is the new Chief Health Ambassador at Noom, spearheading the weight loss company's campaign for GLP-1 microdosing.
On Feb. 6, Health and Human Services General Counsel Mike Stuart said the agency referred Hims & Hers to the Justice Department for "investigation for potential violations" of the Federal Food, Drug, and Cosmetic Act.
Novo said its own testing found ingredients used to make compounded versions of injectable Wegovy contained impurities of up to 86%. Compounded pill versions of the drug contained impurities as high as 75%, Novo said.
The company said even small amounts of impurities in medications can negatively impact the safety and effectiveness of a drug.
Novo officials contrasted the safety and effectiveness standards FDA-approved medications like Wegovy and Ozempic must meet before they can be legally marketed. Telehealth companies and compounding pharmacies don't have to underwrite large medical studies to prove to the FDA that their medications are safe and effective.
"We're the ones that have to go through decades of testing and study and investment into not just the efficacy and safety of how the medicine should be used and how they're manufactured," Kuckelman said.
Hims & Hers defended its safety practices. The company said compounded ingredients are sourced from FDA-registered factories with paperwork showing each batch of ingredients was tested for impurities.
"We only work with licensed pharmacy partners that maintain high quality standards," Hims & Hers said.
Other companies selling weight-loss services say compounding pharmacies will continue to serve an important service for patients.
Dr. Michael Snyder, an obesity specialist at FuturHealth, said compounding pharmacies can tailor medicines for people who can't tolerate a typical dose. He gave the example of someone prescribed a tailored statin drug to treat high blood pressure.
But the popularity of weight-loss drugs has ushered in something different altogether.
"When it comes to these GLP-1 medications, it's truly the Wild West," said Snyder, medical director of the bariatric surgery center at HCA HealthOne Rose.
Snyder said patients need more than just a weight-loss pill to control a disease such as obesity. Too many companies are selling these prescription weight-loss drugs without adequate medical oversight, he said.
Some patients might not be eating enough nutritious food while on the medications. Others might be experiencing side effects that can be managed by adjusting a dose, he said.
"My job is to keep people in the lane of reasonable weight loss," Snyder said. "I can make anyone lose a ton of weight, but doing it healthfully, that takes a little bit of work."
Reach consumer health reporter Ken Alltucker at [email protected].
This article originally appeared on USA TODAY: Wegovy maker challenges Hims, weight-loss drug copycats
Source: “AOL Money”
