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Semaglutide In 2027 Medicare Price Negotiations; Most Other Drugs Lose Exclusivity By Then

15 Products Totaled $41bn In Annual Part D Spending

 
• By Mandy Jackson

Novo took the biggest stock price hit of all the drug makers with products subject to Medicare price negotiations in 2027 under the IRA, but at least 11 of its peers on the list will be subject to generic competition between 2025 and 2027.

15 drugs that cost Medicare Part D $41bn in one year are slated for negotiated pricing in 2027 (Shutterstock)

Novo Nordisk’s blockbuster semaglutide franchise – Rybelsus and Ozempic for type 2 diabetes and Wegovy for obesity – was included in the Centers for Medicare and Medicaid Services (CMS) list of 15 drugs that will be subject to Medicare Part D negotiations for pricing effective in 2027 under the Inflation Reduction Act (IRA). The news was a shock to investors, despite plenty of speculation ahead of the CMS list reveal on 17 January that semaglutide products would be included. It remains to be seen if that is just for Wegovy’s cardiac health indication or the obesity indication, as there are efforts to allow Medicare to cover obesity medications.

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