The shares of pharmaceutical companies jumped up to 4% on Friday as Novo Nordisk’s patent for semaglutide, the active ingredient in popular weight-loss drugs Ozempic and Wegovy, is set to expire on Saturday. This has led to expectations that Indian pharma companies would soon launch cheaper generics for the drug.

Laurus Labs shares gained nearly 4%, while Glenmark, Aurobindo Pharma, Lupin and Biocon were up around 3% each. Divi’s Labs, Dr Reddy’s Labs, Cipla, Sun Pharma, Zydus Life, Torrent Pharma, Wockhardt and other stocks gained 1–2%. The sharp rise in share prices pushed the Nifty Pharma index up nearly 2%, emerging as one of the top sectoral gainers on the NSE.

Danish drugmaker Novo Nordisk’s patent for its GLP-1 (glucagon-like peptide-1) therapy expires on Saturday. According to industry estimates, the market for GLP-1 drugs in India could expand to 15–20% from the current 4–5% in the next 12–18 months as generic versions become more affordable.

Sun Pharma, Mankind Pharma, Dr Reddy’s, Zydus, Lupin and Alkem are among the companies expected to launch generic versions of semaglutide.

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As per industry data, the penetration of GLP-1 drugs is still very low in India, reaching only about 5% of people with diabetes and 4% of those with obesity. This leaves a vast untapped pool in the country, which has over 100 million diabetics and 250 million individuals with obesity.

Ozempic is priced at Rs 8,800–11,175, while Wegovy costs Rs 10,850–16,400 a month. In comparison, Mounjaro (tirzepatide) from Eli Lilly costs between Rs 13,000 and Rs 26,000 per injection, depending on the dosage. Each injection consists of four monthly shots.

The high prices of existing drugs have led investors to expect that cheaper generics will see strong demand in India, although regulatory oversight remains critical.

“Expiry of the main patent in India on semaglutide, the active ingredient in Novo Nordisk’s ‘weight-loss’ drugs Ozempic and Wegovy, represents more than a commercial event. It marks a possible structural inflection point for public health and Indian pharma,” said Sheetal Arora, Chief Executive Officer of Mankind Pharma.

Hyderabad-based Natco Pharma has launched its generic semaglutide injection in India at a starting price of Rs 1,290 per month, marking one of the cheapest entries into the fast-growing GLP-1 diabetes therapy segment and significantly undercutting existing options in the market.

Natco said it is the first to introduce semaglutide in multi-dose vial form in India, offering customised syringes and enabling broader distribution through co-marketing partnerships.

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