(Bloomberg) -- WW International Inc. shares rose after the diet company said it would begin offering a copycat version of weight-loss drugs that costs far less than Novo Nordisk A/S’s Ozempic and Wegovy.
The move comes just a week after WW, also known as WeightWatchers, announced the departure of Chief Executive Officer Sima Sistani after two and a half years leading the diet company. Under Sistani, the company had opposed sales of compounded versions of popular weight-loss medications from Eli Lilly & Co. and Novo that other telehealth firms embraced.
The shares rose as much as 20% when markets opened Tuesday in New York. They had lost 91% of their value this year through Monday’s close.
The first month of the compounded version will cost patients $129, according to WW’s website, and each additional month will cost $189. A month of Wegovy treatment costs about $1,349.
“Given the ongoing shortages of branded medications such as Ozempic and Wegovy, WeightWatchers is committed to ensuring our members still have access to effective alternatives,” WW Interim CEO Tara Comonte said in a statement.
--With assistance from Cameron Baker.
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