Novo up as advisory panel vote concerns subside

A U.S. FDA advisory panel voted last Thursday that the agency should ask for more cardiovascular data before the approval of treatments for obesity. Cardiovascular concerns have delayed or even thwarted many companies seeking to develop treatments for overweight people. Only recently there have been some signs that the agency may be open to an approval in this space.

The vote weighed on Novo Nordisk (OMX: NOVO B) on Friday as its Victoza (Liraglutide) is a treatment candidate for this condition. On Monday Novo played down those concerns, saying that its data set from Diabetes trials could be leveraged in obesity filings.

Early numbers also suggest that Novo has defended Victoza’s market share successfully against recently marketed long-acting competitor Bydureon in type 2 Diabetes. Novo also seems to be more open than before on gunning for a once-weekly drug of its own as well. On Monday the stock shot up more than 5% to once again approach record levels.