Pfizer and Novo Nordisk Face Off in $10 Billion Battle for Metsera

This article first appeared on GuruFocus.

A high-stakes bidding war is unfolding between Pfizer (PFE, Financials) and Novo Nordisk (NVO, Financials) over U.S. biotech Metsera, as both companies race to secure the next breakthrough in obesity treatments.

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Novo recently raised its $10 billion offer after Pfizer matched it, according to people familiar with the talks. Pfizer had struck a $7.3 billion deal with Metsera in September, but Novo's surprise bid last week disrupted the agreement. A judge later rejected Pfizer's attempt to block the higher offer, clearing the way for continued negotiations.

The competition reflects how valuable the obesity drug market has become. Analysts estimate it could exceed $150 billion within the next decade. Novo is defending its lead in the space after losing ground to Eli Lilly, while Pfizer is trying to re-establish itself after earlier setbacks.

Metsera's shares have soared more than 50% since the bidding began, highlighting investor belief that its experimental GLP-1 drugs could be worth the fight.

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