Novo Nordisk is suing Hims & Hers for mass marketing cheaper, unapproved copies of its Wegovy obesity pill in the U.S. Novo seeks to permanently ban Hims from selling infringing drugs and recover damages, citing patient safety risks. Hims planned to offer the copycat pill for $49, $100 less than Wegovy.

Hims faces scrutiny and legal threats from Novo, prompting the online provider to stop offering the pill. Hims claims Novo’s lawsuit limits consumer choice and is a tactic to restrict access to personalized care. Novo’s shares rose 3%, while Hims’ stock fell more than 17%.

Novo is working to regain market share in the obesity drug market, battling competition from Eli Lilly and compounded alternatives. Despite no longer facing shortages, Novo estimates 1.5 million Americans are using compounded GLP-1 drugs. Novo accuses Hims of illegal mass compounding and aims to end unlawful practices.

FDA announced plans to take legal action against Hims, restricting access to ingredients and referring the company to the Department of Justice. Novo praises telehealth platforms like Ro for providing FDA-approved products. Novo and Lilly have filed around 130 lawsuits over deceptive marketing practices in the past two years.

Novo and Lilly have aggressively cracked down on compounding pharmacies to protect their weight loss and diabetes drugs. Lilly previously faced legal challenges with tirzepatide, an ingredient in its Zepbound and Mounjaro treatments. Novo’s lawsuit aims to combat mass compounding and ensure patient safety.

Read more at CNBC: Novo Nordisk sues Hims & Hers over compounded obesity drugs