Metsera Calls Pfizer’s Claims ‘Nonsense’ In Latest Takeover Battle Salvo

Mitsira (MTSR) called PfizerPFE claims “nonsense” in Monday’s follow-up to Pfizer’s lawsuit against Metsera and… Novo Nordisk (NVO) regarding the proposed merger.

The company’s statement is the latest salvo in a battle that began last week when Novo made an unsolicited $6.5 billion offer for Metsera. Metsera, a biotech company focused on obesity, had already agreed to a smaller $4.9 billion deal with Pfizer.

Pfizer is suing the two companies, claiming that Novo is trying to eliminate competition in the weight loss market by buying a smaller company with a promising lineup of drugs. The pharmaceutical giant also alleges that Metsera breached its obligations under the takeover deal with Pfizer. Pfizer also suggested that any deal with Novo would likely face significant regulatory risks.

“Pfizer is trying to file a lawsuit to buy Metsera at a lower price than Novo Nordisk,” Metsera said in a statement. “Metsera’s Board of Directors will continue to stand firm on behalf of shareholders and patients. Pfizer’s jurisdictional arguments are complete nonsense, and Metsera will address them in court.”

All three stocks were in the red in midday trading. Pfizer fell slightly to 24.59, while Novo fell 1% to 48.90. Mitsira shares lost 2.5% to trade at 61.44.

Why does Metsera attract attention?

For Novo Nordisk, buying Metsera could help avoid a decline in sales, as its largest drugs face compounding and eventual drug pricing regulations.

The company’s biggest money maker is semaglutide, the chemical backbone behind Wegovy’s weight-loss and type 2 diabetes drug Ozempic. Although the drugs are no longer in shortage, compounders are still creating counterfeit versions through a loophole that allows them to prepare personal doses.

Meanwhile, the Centers for Medicare & Medicaid Services will soon negotiate the price of Ozempic under the Inflation Reduction Act. The law allows Medicare officials to reduce prices on a range of expensive drugs each year.

For Pfizer, Mitsira will offer another bite at the weight-loss apple. Pfizer has faced several major setbacks to its internal efforts, which have largely suffered from liver problems. The company still has early-stage obesity treatment efforts in its pipeline.

Follow Alison Gatlin on X/Twitter at @AGatlin_IBD.

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