The European Commission granted unconditional approval to Novo Holdings’ $16.5 billion takeover of Catalent, a decision both companies were hoping for.
Novo Holdings is the controlling shareholder of pharmaceutical giant Novo Nordisk, to whom it plans to sell Bloomington’s Catalent facility, along with two other plants in Europe.
The Federal Trade Commission still needs to approve or block the deal. That decision’s timeframe is unclear, but Catalent has told the IDS it expects the deal to close before the end of the year.
Still, Bloomington employees say the commission's decision is a step forward for their workplace. Several workers told the Indiana Daily Student they hoped the deal would go through to improve working conditions and morale at the site.
The European Commission told Reuters in a statement that the acquisition wouldn’t raise concerns over competition in the European market it analyzes. But the deal is not without scrutiny from consumer watchdogs, competitors and even Massachusetts Sen. Elizabeth Warren.
“Limiting competition will further exacerbate the affordability crisis that is placing GLP-1s out of reach for many Americans,” she wrote in a letter to FTC chair Lina Khan in October.
The rise of GLP-1 drugs, originally for diabetes, as weight loss treatments underscores the entire deal. Major names include Novo Nordisk’s Ozempic and Wegovy and Eli Lilly’s Mounjaro and Zepbound.
Eli Lilly alleged it relies on a Catalent site for its GLP-1 production. Catalent and Novo have both denied the company manufactures Lilly’s GLP-1 drugs Mounjaro and Zepbound for “commercial sale.”
