Eli Lilly and Co ( LLY ). will sharply increase the list price of its weight-loss and type 2 diabetes drug Mounjaro (tirzepatide) in the United Kingdom, while expanding its market presence in India with a new injector pen.

The moves underscore growing competition with Danish rival Novo Nordisk A/S ( NVO ) in the lucrative obesity drug market.

Starting in September, Lilly will raise the U.K. list price for Mounjaro’s highest monthly dose from 122 pounds to 330 pounds, a 170% jump, bringing it in line with prices in other European markets.

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Reuters reported that Eli Lilly ( LLY ) initially set a lower price when Mounjaro launched in Britain in February 2024 to speed availability through the National Health Service (NHS).

Mounjaro competes directly with Novo Nordisk’s Wegovy, which became available in the U.K. in September 2023. Both drugs have surged in popularity as obesity treatments, driving intense market competition and prompting price adjustments.

On Tuesday, a new program was initiated to improve access to weight management services across the U.K. NHS.

The program is backed by up to $114.61 million (85 million sterling pounds), with the U.K. government contributing as much as 50 million pounds and Eli Lilly ( LLY ) providing up to 35 million pounds in grant funding.

The steep price jump comes after the U.S. doctors said that more patients on GLP-1 obesity drugs are making financial sacrifices to stay on treatment as U.S. insurers tighten coverage in 2025.

Many are stretching doses or cutting discretionary spending, including vacations, to pay for the medications out of pocket.

Physicians told Reuters that insurance coverage has become more limited this year, with many employers removing the costly drugs from benefit plans.

At the same time, Lilly is pushing deeper into the Indian market. On Wednesday, it launched the Mounjaro Kwikpen, a once-weekly, easy-to-use injector, at a starting price of 14,000 rupees (about $160) for its 2.5 mg dose.

The device is available in six dose strengths ranging from 2.5 mg to 15 mg, with monthly prices rising to 27,500 rupees for the highest doses.

The launch follows approval from India’s drug regulator in June, just days after Novo Nordisk ( NVO ) introduced Wegovy in India in multiple dose strengths using a similar pen device.

Wegovy’s monthly prices in India range from 17,345 rupees for its smallest doses to over 26,000 rupees for its highest strengths.

Lilly’s dual strategy, aligning U.K. prices with the broader European market and expanding product availability in India, reflects the global race to capture share in the fast-growing obesity and diabetes treatment sector.

Price Action: LLY stock is trading higher by 1.92% to $673.20 at last check Thursday.

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