Key Takeaways

• Eli Lilly is launching singe-use vials of its popular weight-loss drug Zepbound, which will be half the price of previous versions of the drug.

• The traditional injector pens are more difficult to produce, while the vials will allow customers to use any syringe to inject the medicine.

• The 2.5 mg and 5 mg vials will cost $399 and $549, respectively, for a four-week supply.

Eli Lilly (LLY) reached a key supply milestone Tuesday, announcing the launch of single-dose vials of Zepbound, one of the company's popular weight-loss drugs.

The vials will be at least half the price of other versions of Zepbound and Mounjaro, Eli Lilly's other weight-loss drug, along with competitors like Novo Nordisk's (NVO) Ozempic and Wegovy. In its standard version, the drugs come in an injection pen that take longer to make because they contain both the medicine and the syringe, while customers will be able to use the easier-to-make vials with any syringe to inject themselves.

The drugs will be available through Eli Lilly's direct-to-consumer platform LillyDirect, the company's attempt to the bypass the need for traditional pharmacies by filling prescriptions for its medications online.

Four-Week Supply To Cost $399 To $549

Eli Lilly said that a four-week supply will cost $399 for 2.5 mg vials and $549 for 5 mg vials. The injector pen treatment plans of the popular weight-loss drugs from Lilly and Novo Nordisk can range from $25 for customers with adequate insurance coverage to over $1,000 for a monthly supply.

"These new vials not only help us meet the high demand for our obesity medicine, but also broaden access for patients seeking a safe and effective treatment option," Lilly USA President Patrik Jonsson said. "In a clinical study, the 5 mg maintenance dose helped patients achieve an average of 15% weight loss after 72 weeks of treatment and has been a powerful tool for millions of people with obesity looking to lose weight and keep it off."

The immensely popular drugs have boosted the quarterly results and share prices of Eli Lilly and Novo Nordisk, with both companies working to boost their production capabilities as competing drugmakers put their own weight-loss drugs through clinical trials. The drugs have also shown promising capabilities of reducing the risk of severe cardiac issues and even reduce the risk of diabetes progression.

Eli Lilly shares were up almost 2% to $966.93 as of 10 a.m. ET Tuesday, near their all-time high.

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