Contract drug manufacturers are investing billions of dollars in expanding or constructing facilities that fill the injection pens used for weight-loss drugs like Novo Nordisk A/S's (NYSE:NVO) Wegovy. 

Interviews with industry insiders reveal fierce competition among pharmaceutical services companies to secure contracts for filling the syringes used in these pens, known as fill-finish. 

Obesity treatment, Wegovy, has experienced a surge in sales since its U.S. launch in June 2021. 

Companies such as WuXi Biologics and Catalent Inc (NYSE:CTLT) are expanding their pre-filled syringe capacity to meet the rising demand. 

WuXi Biologics CEO Chris Chen is exploring acquiring more European factories, Reuters noted. 

Catalent is set to launch significant pre-filled syringe capacity in Italy and the U.S. in 2024, in addition to its existing work on Wegovy.

While big drugmakers like Novo are investing heavily in their production, capacity shortages are expected to persist into the next year. 

The surge in fill-finish demand also aligns with predictions that the fill-finish market will double to $12.5 billion between 2019 and 2027. 

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.