Novo’s Victoza Diabetes Drug Backed for U.K. Coverage (Update1)

Feb. 15 (Bloomberg) -- Novo Nordisk A/S’s Victoza, the newest drug available to treat diabetes, should be given to British patients in combination with two other medications, according to a preliminary recommendation by the U.K.’s health- cost agency.

The drug, known chemically as liraglutide, should be considered for obese diabetics who can’t keep their blood sugar levels under control with older medications, the National Institute for Health and Clinical Excellence said in a statement today. Victoza should be used with metformin and one other drug, either GlaxoSmithKline Plc’s Avandia, Takeda Pharmaceutical Co.’s Actos or the generic medicine sulfonylurea, the agency said.

The appraisal panel for the agency asked for additional information about Victoza’s benefits when given with just one other drug, and said it wouldn’t recommend a higher, 1.8 milligram dose of the medication. Victoza was also backed for smaller patients who can’t take insulin at work or who would reap medical benefits from the weight loss that the drug can trigger.

“We are pleased to recommend liraglutide 1.2 mg daily as a clinically and cost effective treatment option as part of triple-therapy regimens for some patients under restrictions,” said Carole Longson, the director of the agency’s health technology evaluation center. “However, we felt that there was not sufficient evidence to recommend it in dual-therapy regimens.”

Novo, based in Bagsvaerd, Denmark, can respond to the proposal and provide additional information for the next stage of the review. The committee will meet again on March 18 to consider the new evidence and issue a final recommendation to the National Health Service on the best use of Victoza.

Continued use of Victoza should be restricted to those who lose at least 3 percent of their body weight after taking the drug, according to the agency, which is known as NICE.

Novo officials said they are confident the company can answer all the panel’s questions and support the use of Victoza at higher doses and with only one other diabetes drug.

The Danish company is encouraged that NICE has “seen the value of liraglutide and the major benefits that it has for patients with type 2 diabetes,” said Viggo Birch, Novo Nordisk’s managing director, in a statement. “We look forward to the next stage of discussions with NICE and the resulting guidance expected around June.”

Novo Nordisk rose 4.10 kroner, or 1.1 percent, to 391 kroner as of 10:01 a.m. in Copenhagen trading, making the stock the biggest gainer in the 18-member Bloomberg Europe Pharmaceutical Index. The shares climbed 28 percent in the 12 months before today.

To contact the reporter on this story: Michelle Fay Cortez in London at mcortez@bloomberg.net

To contact the editor responsible for this story: Phil Serafino at pserafino@bloomberg.net