Weight-loss drugmaker Novo Nordisk invests 42 billion crowns to boost output

NOVO Nordisk said on Friday (Nov 10) it will invest more than 42 billion crowns (S$8.2 billion) in its Danish production facility in the coming years to meet booming global demand for the Wegovy weight-loss treatment.

The expansion at its Kalundborg site will boost capacity for manufacturing active pharmaceutical ingredients (API), as well as across other parts of its value chain such as packaging, the company said.

This will include lifting capacity for GLP-1 products such as semaglutide, the API in Wegovy as well as the company’s Ozempic diabetes treatment.

Novo has said that it produces all of its semaglutide in Denmark.

Henrik Wulff, Novo’s head of product supply, quality & IT said: “Our continued investment in global capacity demonstrates the belief we have in our current and future product portfolio.”

The investment by Novo, Europe’s most valuable company by market capitalisation, is the largest in Denmark by a private sector company, a company spokesperson said.

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A portion of the investment was included in a 25 billion crowns capital expenditure plan announced in February.

The construction projects are due to be completed from the end of 2025 through 2029.

Novo Nordisk’s share price climbed 0.8 per cent as at 9.10 am GMT (5.10 pm SGT), outperforming a 0.6 per cent drop in the wider European stock market. REUTERS