Pfizer eyes obesity drug market as it seals $4.9bn deal for Metsera

US pharmaceutical company Pfizer is hoping to push its way into the obesity drug market by acquiring biopharmaceutical firm Metsera for $4.9 billion (€4.16bn).

The deal brings Metsera's pipeline of therapies for obesity and cardiometabolic diseases, along with its expertise and infrastructure, into Pfizer's portfolio.

The COVID-19 vaccine maker said early on Monday that it will pay $47.50 per share in cash for each Metsera share. That represents a premium of more than 42% to Metsera's closing price on Friday.

Pfizer also could pay an additional $22.50 per share, depending on how Metsera's product pipeline develops.

"The proposed acquisition of Metsera aligns with our focus on directing our investments to the most impactful opportunities and propels Pfizer into this key therapeutic area,” said Albert Bourla, chairman and chief executive officer of Pfizer. He added: “Obesity is a large and growing space with over 200 health conditions associated with it."

Metsera has no products on the market, but its pipeline includes four programs in clinical development and one in mid-stage testing.

Demand for obesity treatments has soared in recent years, fuelled by market leaders Zepbound from Eli Lilly and Wegovy from Novo Nordisk.

Pfizer currently has no obesity treatments on the market, but has some in clinical development. Earlier this year, the company said it was ending development of a potential once-daily pill treatment before it started late-stage testing, the biggest and most expensive phase of clinical development.

The announcement comes at a time when the pharmaceutical sector is facing increased pressure from the US government to lower drug prices. At the end of July, US President Donald Trump sent out letters to 17 drugmakers, calling for concrete steps to cut prices by 29 September. At the same time, the US administration has hinted that the sector is going to be subject to trade tariffs, but no definite announcement has been made yet.

Meanwhile, the market for medicines treating obesity is expected to skyrocket. Currently, it is estimated to be worth $28bn (€23.8bn) by Goldman Sachs, which forecasts the market to grow to $95bn (€80.6bn) by 2030. Morgan Stanley says it could reach $150bn (€127.3bn) by 2035.

Shares in Pfizer climbed by more than 2.5% shortly after Wall Street opened on Monday, while Metsera's stock soared over 60%.