Owner of Novo allocates $265 million from Wegovy success to tackle respiratory diseases
The effort aims to develop better vaccines for severe respiratory illnesses like tuberculosis, influenza, and group A streptococcus. These diseases combined lead to over 2.5 million deaths annually, according to the foundation.
The Novo Nordisk Foundation, overseeing pharmaceutical company Novo Nordisk, announced on Monday a commitment of up to 1.8 billion Danish crowns ($265 million) to launch an effort dedicated to enhancing vaccines for respiratory diseases.
The Novo Nordisk Foundation has received a significant boost in funds thanks to the success of Wegovy, the weight-loss drug.
This windfall positions the foundation to become a significant supporter of philanthropic causes and a player in environmental, social, and governance (ESG) investments.
The foundation’s latest initiative focuses on developing better vaccines for deadly respiratory diseases such as tuberculosis, influenza, and group A streptococcus, which together contribute to over 2.5 million deaths annually.
Teaming up with the University of Copenhagen, the Novo Nordisk Foundation is pioneering the world’s first initiative dedicated entirely to figuring out how to build immunity in the airway,”
the foundation revealed. The global battle against tuberculosis has suffered setbacks during the COVID-19 pandemic, with a shortage of funding and attention hindering efforts to combat what is often termed as the ‘pandemic of the poor.
Novo Nordisk has received criticism for the expensive cost of its groundbreaking weight-loss drug, which limits access for lower-income individuals, primarily those most impacted by obesity.
Additionally, the company announced in June that the drug may not be available in developing countries for an extended period.
The Novo Nordisk Foundation Initiative for Vaccines and Immunity (NIVI) is inspired by Norway’s Coalition for Epidemic Preparedness Innovations (CEPI).
CEPI aids in financing vaccine research, backed by contributions from governments like the U.S., Britain, and Norway, along with private supporters such as the Gates Foundation.
Analysts at Berenberg, along with Reuters calculations, estimate that the Novo Nordisk Foundation is set to gain around $12.5 billion in returns from last year until 2026.
This represents nearly double the income it generated in the years 2018-2021, prior to the launch of Wegovy in the U.S.
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