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(Sharecast News) - Shares in Novo Nordisk sparked on Friday, after the UK health authority approved higher doses of the Danish firm's blockbuster weight-loss treatment Wegovy.
Currently, doctors are unable to prescribe more than 2.4 milligrams of the jab a week for patients with obesity.
However, the Medicines and Healthcare products Regulatory Agency has given the green light to a new maximum weekly dose of up to 7.2 milligrams, to be administered in three separate injections alongside a reduced-calorie diet and exercise.
The MHRA said only patients with a body mass index of 30 or higher were eligible for the higher dose.
That did not stop the stock jumping in morning trading, however.
As at 1130 GMT, Novo's Copenhagen-listed shares had put on 6%, while in New York, the stock was up 5% in pre-market trading.
The approval was given last week, but the MHRA did not announce its decision until this Friday.
Novo Nordisk has recently launched an easier-to-administer oral 25 milligram pill version of Wegovy. It has already been approved in the US but the MHRA has yet to make its ruling.
The regulator said it anticipates making a decision by the end of the year.
Berenberg expects the pill to generate revenues of around $1bn this year. In a note published on Friday, where it reiterated its 'buy' rating, the broker said: "Novo Nordisk must maximise its head-start over competitor Eli Lilly and deliver a strong sales ramp in 2026.
"Higher-than-anticipated Wegovy pill sales could offset the headwinds associated with semaglutide US price cuts and ex-US patent expiries in 2026."
Semaglutide is the active ingredient in Wegovy.
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