Variant Bio and Novo Nordisk
Type: Research and development agreement
Company: Variant Bio
Collaboration Partner Company: Novo Nordisk
Focus: Human-centred drug discovery programs
Upfront payments: Variant Bio ($50 million)
Financial impact: Novo Nordisk partnered with Variant Bio to discover new genetic targets for metabolic disease treatments by leveraging diverse population data and advanced multi-omic analysis.
Variant Bio, a genomics-driven drug discovery company, has joined a multi-year research collaboration with Novo Nordisk to identify novel targets for treating metabolic diseases. The partnership aims to uncover and validate several new targets supported by strong human genetic evidence, paving the way for human-centred drug discovery programs. As part of the agreement, Novo Nordisk will provide Variant Bio with an upfront payment and additional near-term R&D funding, totalling up to $50 million, along with potential option and milestone payments based on the targets discovered during the partnership. In alignment with Variant Bio's long-term benefit-sharing initiative, this collaboration will also result in financial rewards being distributed to the partner communities worldwide that contributed data to the genomic research.
Five years' market revenue for Obesity drugs
The World Health Organization reports that obesity is the fifth-leading cause of death globally. To address this growing issue, a range of medications are either available or under investigation in various stages of development. Obesity significantly contributes to several non-communicable diseases, including heart disease, stroke, and diabetes. Like many chronic conditions, obesity has multiple causes, such as genetics, sociocultural influences, mental health, ultra-processed foods, economic factors, commercial interests, and environmental elements. The rising obesity trend is largely due to the complex interplay of these factors, which often amplify one another.
Five years market revenue of Obesity drugs (2020-2024)
Fig 15: Market revenue of Obesity drugs
The World Obesity Atlas 2022 predicts that the global obesity rate will reach 16.1% in 2025, representing 892 million people, and is expected to increase to 17.5% by 2030, affecting 1.025 billion individuals. The global market for anti-obesity drugs is expected to grow from USD 12.8 billion in 2025 to USD 104.9 billion by 2035, with a compound annual growth rate (CAGR) of 21.1% during this period. Anti-obesity drugs, or weight-loss medications, are pharmaceutical treatments designed to help individuals manage obesity and related health issues, such as diabetes and cardiovascular diseases. These drugs work through various mechanisms, including appetite suppression, fat absorption inhibition, and metabolic rate enhancement. The selection of the appropriate drug is based on a patient’s health profile, co-morbidities, and metabolic risks, as determined by healthcare providers. Additionally, ongoing advancements in drug development and delivery systems are leading to the creation of safer and more effective treatments for obesity.
As global obesity rates rise and awareness of the associated health risks, such as diabetes, heart disease, and certain cancers, increases, the demand for effective anti-obesity medications has grown. Furthermore, the shift toward long-term obesity management is expected to drive significant market expansion, providing major opportunities for stakeholders in the years ahead. In 2020, the global obesity drug market generated approximately $0.5 billion in revenue. Specifically, the U.S. market alone is projected to reach $44 billion by 2030, up from $0.5 billion in 2020. This growth is primarily driven by the increasing prevalence of obesity and the development of more effective anti-obesity treatments.
Market Impact of This Partnership
The partnership between Novo Nordisk and Variant Bio focuses on identifying and validating new targets for drug discovery, backed by robust human genetic evidence. Metabolic diseases, including obesity, impact people worldwide; however, many of the genetic targets identified so far are primarily based on studies of populations with European ancestry. This creates a gap in understanding, and there remains an unmet need for more inclusive research. By gaining a deeper understanding of the genetic variations linked to metabolic traits, this collaboration aims to uncover new targets and ultimately develop more effective and diverse treatments for people globally. Through its collaboration with Variant Bio, Novo Nordisk seeks to advance its understanding of the genetic factors contributing to metabolic diseases. Variant Bio, having conducted numerous genomic studies with diverse populations across the world, is uniquely positioned to explore metabolic diseases in under-studied regions. Novo Nordisk believes that the data generated from these studies will increase the chances of discovering truly novel therapeutic targets.
“Novo Nordisk’s collaboration with Variant Bio aims to uncover new targets and better understand the genetics behind metabolic diseases to develop more effective global treatments.”
Additionally, human genetic evidence is expected to enhance the development of differentiated therapies for metabolic diseases. The partnership utilizes Variant Bio’s innovative VB-Inference analysis platform to identify new targets with strong genetic backing and clear therapeutic hypotheses. VB-Inference integrates whole genome data with deep phenotyping and multi-omic information, including transcriptomics, proteomics, and metabolomics, through statistical genetics and machine learning. This approach provides a more comprehensive understanding of disease mechanisms than traditional genetic association studies and has already contributed to the creation of several new research programs within Variant Bio’s internal pipeline.