Novo Nordisk shares surged on Monday, rising as much as 5% at the open, after U.S. regulators granted accelerated approval for its weight-loss drug Wegovy to treat a progressive liver condition known as MASH.
The approval sparked strong investor interest, boosting confidence in the company’s expanding therapeutic reach, News.Az reports, citing Reuters.
It affects around 5% of adults in the U.S.
That was positive news for the drugmaker, which has seen its value tumble.
Investors wiped $70 billion off its stock three weeks ago after Novo issued a profit warning and named a company veteran as new CEO.
The firm had become Europe's most valuable listed company after the launch of Wegovy four years ago.
But its shares have lost more than two-thirds of their value since June Last year.
Markets are concerned the Danish drugmaker is losing ground in the obesity drug race to copycat drugs and U.S. rival Eli Lilly.
