Eli Lilly Shares Rise 2.8% After China Approves Orforglipron Weight-Loss Pill

Eli Lilly (NYSE:LLY) shares advanced 2.8% in pre-market trading on Thursday after China’s medicines regulator approved the company’s oral weight-loss treatment, orforglipron, expanding its presence in the country’s obesity treatment market.

The approval allows Lilly to introduce an oral alternative to injectable GLP-1 treatments in China, where it will compete with products from Novo Nordisk, Pfizer and domestic pharmaceutical company Innovent Biologics.

China represents a significant market for obesity treatments. The country’s National Health Commission has estimated that more than 65% of the population could be overweight or obese by 2030.

Both Lilly and Novo Nordisk are developing oral weight-loss medications to reach patients who prefer tablets to injections. Novo Nordisk’s oral version of Wegovy has not yet received regulatory approval in China, while Lilly was the first of the two companies to submit an application for its oral treatment.

Eli Lilly Announces Estetrol Partnership With Richter

Separately, pharmaceutical company Richter announced a strategic agreement with Eli Lilly covering estetrol (E4), a compound being developed for applications in women’s health and cardiometabolic diseases.

Under the agreement, Lilly will obtain global rights to develop E4-based combination treatments, alongside an option to participate in the US commercialization of FYLREVY.

Richter will retain economic benefits associated with E4 supply and become eligible for potential milestone payments and royalties.

As part of the transaction, Lilly will also acquire approximately $15 million worth of Richter ordinary shares held in treasury.

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