12:45 PM EDT, 10/23/2024 (MT Newswires) -- Catalent's ( CTLT ) proposed takeover by Novo Holdings, the parent company of Novo Nordisk ( NVO ) , was opposed by Roche Chief Executive Thomas Schinecker, who urged the authorities to prevent the takeover as it may impact competition, Reuters reported Wednesday.

Schinecker said in a media call that while Roche would not be directly affected by the deal, it could hinder competition for smaller players in the market. "From an industry perspective, it would be a wrong decision by authorities," according to the news outlet.

Novo Holdings, a holding and investment company responsible for managing the assets and wealth of the Novo Nordisk ( NVO ), is looking to acquire contract drug manufacturer Catalent ( CTLT ) for $16.5 billion. The deal is set to close before the end of 2024, the companies have said.

Schinecker emphasized that consolidating contract manufacturing organizations could limit competition in the industry, the report said.

If approved, Novo Nordisk ( NVO ) plans to acquire three manufacturing sites from Novo Holdings, while Catalent ( CTLT ) will continue to operate nearly 50 sites independently, a Novo Nordisk ( NVO ) spokesperson told Reuters.

"We are confident that the transaction is pro-competitive, and we are unaware of any competitive glucagon-like peptide 1 products being manufactured for commercial sale at the three sites that Novo Nordisk ( NVO ) is planning to acquire. We have and will continue to work closely with the Federal Trade Commission and Europen Union regulators as intended under the law. We still expect the transaction to close toward the end of the calendar year," Catalent ( CTLT ) told MT Newswires.

Roche, Novo Holdings, and Novo Nordisk ( NVO ) did not immediately reply to MT Newswires' requests for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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