Novo defends diversification push as CEO eyes deals beyond obesity

Novo Nordensen CEO Mike Doustdar told CNBC the company is actively considering M&A opportunities as competition intensifies in the weight-loss drug market. The statement signals a strategic pivot as the Danish pharmaceutical giant defends its diversification strategy beyond its blockbuster obesity franchise.

Doustdar framed the acquisition hunt as gap-filling, telling CNBC the company is evaluating "where the gaps are" in its portfolio. The remarks come as Novo faces mounting pressure from rivals in the lucrative GLP-1 weight-loss space, where its brands have dominated but new entrants are advancing.

The CEO's public acknowledgment of deal-making appetite marks a shift in tone for a company that has historically grown primarily through internal development. Novo has not disclosed specific therapeutic areas or deal sizes under consideration, but Doustdar's comments suggest the board is open to inorganic growth to fortify its pipeline outside obesity.

The diversification push reflects broader anxiety in the weight-loss market, where first-mover advantages are eroding and pricing power may compress as supply increases.