Zealand Pharma: Boehringer's Survodutide Delivers Up To 13.1% Weight Loss In Phase 3

Zealand Pharma's shares dropped 12.5% after a Phase III trial of its obesity drug survodutide showed significant weight loss in type 2 diabetes patients, but 18% discontinued due to gastrointestinal side effects. The trial met its main goals, with patients losing up to 13.1% body weight. The drug is licensed to Boehringer Ingelheim, which is responsible for its development and commercialization.

Zealand Pharma (ZEAL) reported positive Phase III trial results for Boehringer Ingelheim's survodutide, showing 13.1% weight loss vs. 3.1% for placebo in type 2 diabetes patients. The trial also showed significant improvements in HbA1c and waist circumference. Results were presented at EASD and published in NEJM.

Zealand Pharma reported that Boehringer Ingelheim's survodutide achieved co-primary endpoints in its Phase III trial, with participants experiencing up to 13.1% weight loss compared to 3.1% for placebo over 76 weeks. The drug also improved glycemic control in adults with obesity or type 2 diabetes, according to the company.

Zealand Pharma (ZEAL.CO) announced a positive EU opinion for Zeydovio (glepaglutide) in treating short bowel syndrome, based on Phase 3 trial data. The CHMP recommendation, supported by significant trial results, awaits European Commission approval. The company is also advancing a U.S. trial for potential FDA submission.

Royalty Pharma (RPRX) agreed to a $100M deal with Zealand Pharma for rights to a rare blood disorder therapy. RPRX shares are down 1.86% to $60.58, but up 11.16% over 90 days and 70.08% over a year. Analysts debate its valuation, with some calling it 2% overvalued at $59.25, while a DCF model suggests it's heavily discounted at $195.31.

Jefferies downgraded Zealand Pharma (ZELA) from Buy to Hold and cut its price target to DKK 320 from DKK 505, citing no near-term value catalysts in 2H 2026. It reduced the probability of success for survodutide to 40% from 60% due to tolerability concerns after Phase III data. Shares fell about 2% with no Zealand-specific news.