Novo Nordisk (NYSE:NVO) has outbid Pfizer Inc (NYSE:PFE, ETR:PFE) in a heated contest for obesity-focused biotech Metsera (NASDAQ:MTSR), with the Danish drugmaker’s revised offer valuing the company at roughly $10 billion, compared with Pfizer’s $8.1 billion proposal.
Metsera’s board on Tuesday declared Novo Nordisk’s amended bid “superior,” setting the stage for a potential acquisition that could reshape the obesity treatment landscape.
Novo’s offer includes $62.20 per share in cash and contingent value rights of up to $24 per share, contingent on clinical and regulatory milestones.
Pfizer CEO Albert Bourla sought to sweeten his bid by $3 a share, on the condition that Metsera cease discussions with Novo, but the board did not respond. Pfizer has two business days to improve its terms before Metsera can formally terminate the Pfizer agreement and proceed with Novo.
At the center of the dispute is Novo Nordisk’s deal structure, which Pfizer has described as “reckless and unprecedented.” Under the proposal, Novo would pay $56.50 per share upon signing, with the cash returned to investors as a dividend, raising concerns over its legality and long-term intent. Bourla has accused Novo of aiming to “catch and kill” Metsera’s products rather than develop them.
A Delaware judge said on Tuesday that she did not see a need to involve the court in the bidding war at this stage, though another hearing is scheduled for Wednesday afternoon.
Novo Nordisk said in a statement that acquiring Metsera would allow it to maximize the potential of the startup’s early and development-stage incretin and non-incretin peptide programs, aligning with its strategy to expand innovative therapies for obesity and diabetes.
Pfizer, meanwhile, defended its offer, highlighting its global research and commercial capabilities and asserting confidence that the Pfizer-Metsera combination would deliver substantial shareholder value.
Shares of Metsera jumped 17.7% on Tuesday morning following the announcement, while Pfizer fell 0.5% and Novo Nordisk dipped 1%.