(Reuters) -Metsera shareholders on Thursday approved Pfizer’s takeover offer worth up to $10 billion, as per preliminary count, allowing the U.S. pharmaceutical giant to gain a foothold in the lucrative obesity treatment market after a fierce bidding war with Wegovy-maker Novo Nordisk.
The approval paves the way for Pfizer to diversify beyond its shrinking COVID-19 portfolio, navigate looming patent expirations, and tap into the booming market for weight-loss drugs that analysts estimate could be worth $150 billion annually by the end of the decade.
Pfizer had discontinued two oral GLP-1 candidates – lotiglipron in 2023 and danuglipron in 2025 – due to liver safety concerns, leaving it without a viable in-house obesity drug.
Metsera’s lead candidate, MET-097i, a GLP-1 therapy designed for a once-monthly injection, has drawn attention for its potential to rival similar blockbuster treatments such as Wegovy and Eli Lilly’s Zepbound, which require weekly injections.
Metsera’s board had unanimously recommended shareholders to approve the amended Pfizer merger agreement, which valued the biotech at up to $86.25 per share, including an upfront payment of $65.60 per share in cash and up to $20.65 per share additionally, contingent on the success of its pipeline of drugs.
Pfizer said in September it expects Metsera’s pipeline of drugs to deliver a series of launches beginning in the 2028, 2029 time frame, which could potentially help offset upcoming patent expirations.
The board accepted Pfizer’s offer citing U.S. antitrust risks with Novo’s bid that it had previously called superior. Novo said on Saturday it would exit the race.
Shares of Pfizer were up 1.4% in early trading, while U.S.-listed shares of Novo slipped 1.4%.
Metsera shareholders ARCH Venture Fund XII LP, ARCH Venture Fund XIII LP, Validae Health LP, and Population Health Partners GP LLC had agreed to vote in favor of the company’s proposed merger with Pfizer, according to a proxy filing.
As of September 29, the firms collectively held about 37.6% of Metsera’s outstanding stock.
(Reporting by Kamal Choudhury and Mariam Sunny in Bengaluru; Editing by Maju Samuel)
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