Viking Therapeutics Secures $150M Manufacturing Deal with CordenPharma for Obesity Drug

Viking Therapeutics has struck a significant deal with contract development and manufacturing organization (CDMO) CordenPharma, agreeing to pay $150 million through 2028 for the production of its dual GIP/GLP-1 agonist VK2735. This partnership marks a crucial step in Viking's pursuit of a competitive edge in the rapidly expanding obesity drug market.

Strategic Manufacturing Partnership

The agreement between Viking and CordenPharma encompasses the long-term supply of both subcutaneous and oral versions of VK2735. CordenPharma will be responsible for producing "multiple metric tons" of active pharmaceutical ingredients annually, as well as handling fill-finish operations for both formulations.

Specifically, the CDMO is set to supply:

• 100 million autoinjectors per year for subcutaneous VK2735
• 100 million vial and syringe products annually for the injectable version
• 1 billion oral VK2735 tablets each year

Viking's CEO, Brian Lian, Ph.D., expressed confidence in the partnership, stating, "CordenPharma's established presence in commercial peptide manufacturing gives us confidence in their ability to deliver supply commensurate with what we anticipate will be significant commercial demand."

VK2735: A Promising Contender in Obesity Treatment

Viking Therapeutics has rapidly gained attention in the pharmaceutical industry due to the impressive mid-stage data of VK2735. In early 2024, the company reported that the highest 15-mg dose of the injectable formulation led to a mean weight loss of 14.7% after 13 weeks of treatment. These results suggest that VK2735 could potentially compete with established blockbuster obesity drugs from Novo Nordisk and Eli Lilly.

The oral version of VK2735 has also shown promise, with the highest 100-mg dose achieving a mean weight loss of 6.8% over 28 days in clinical trials. Viking plans to advance the subcutaneous version into late-stage testing in the second quarter of 2025, while the oral formulation is currently undergoing a 13-week phase 2 dosing trial.

CordenPharma's Strategic Expansion in Peptide Manufacturing

This deal comes on the heels of CordenPharma's significant investments in expanding its peptide manufacturing capabilities, particularly for GLP-1 agonists. In July of the previous year, the Swiss-based CDMO announced a 900 million euro ($981 million) investment plan over three years to strengthen its GLP-1 peptide production in Europe and the United States.

More recently, CordenPharma revealed plans for a 500 million euro ($536 million) peptide facility in Basel, Switzerland. This new plant will feature multiple manufacturing lines capable of supporting small-, medium-, and large-scale projects for both GLP-1 and non-GLP-1 peptides.

The partnership with Viking Therapeutics represents a significant validation of CordenPharma's strategic focus on peptide manufacturing, particularly in the burgeoning field of obesity and diabetes treatments.