Harith Rajagopalan
CEO and co-founder, Fractyl Health
“Can we continue to afford to just light our money on fire paying for drugs that people stop taking?” Rajagopalan asked. “Or can we start thinking about this as a chronic disease that needs to be managed over the long term?”
Fractyl’s shift to weight maintenance could be a harbinger of a broader trend in biotech, he added.
“I think we’re at the beginning of what will be a global paradigm shift in how we treat metabolic diseases,” he said.
Stay tuned for our next Biotech Spotlight to learn more about the companies making waves in the industry. Until then, keep innovating!
Fractyl Health, led by CEO and co-founder Dr. Harith Rajagopalan, has recently made a strategic decision to pivot its focus towards addressing the root cause of Type 2 diabetes and obesity. In a recent interview, Dr. Rajagopalan shared insights into the company’s decision-making process and the innovative approaches that set Fractyl apart in the GLP-1 landscape.
The decision to pivot came after the company observed a surge in interest and enrollment in a study focusing on weight maintenance, as opposed to their previous efforts in Type 2 diabetes. Recognizing the potential to address obesity as a precursor to diabetes, Fractyl redirected its resources towards developing solutions for weight management, a crucial area with a significant unmet need in the healthcare space. This shift in focus was further validated by the FDA’s grant of breakthrough device designation for their weight maintenance study, underscoring the urgency of finding effective solutions for obesity.
With approximately 10 million individuals currently on GLP-1 therapy, Fractyl sees a significant commercial opportunity in targeting the subset of patients who undergo endoscopies for weight loss purposes. By offering an add-on treatment like Revita to this population, the company aims to tap into a niche market segment and provide a solution that aligns with patient needs and preferences.
In addition to their work on Revita, Fractyl is also venturing into human studies for a gene therapy called Rejuva, designed to treat Type 2 diabetes. What sets Fractyl apart in this area is their innovative approach to gene therapy, which leverages the body’s natural mechanisms to regulate GLP-1 production. By delivering the gene therapy directly to the pancreas at a low dose, Fractyl aims to optimize efficacy while controlling manufacturing costs, potentially offering a more accessible pricing structure for a broader patient population.
When it comes to pricing the therapy, Dr. Rajagopalan envisions a cost-effective model that could be priced below $10,000 per patient, making it a competitive alternative to existing treatments like semaglutide. Despite the challenges of introducing a new modality, Dr. Rajagopalan emphasizes the importance of exploring innovative solutions to address the growing burden of chronic conditions like diabetes and obesity.
In conclusion, Fractyl Health’s strategic pivot towards addressing obesity and diabetes at their root cause reflects a forward-thinking approach to healthcare innovation. By leveraging cutting-edge technologies and focusing on unmet patient needs, Fractyl is poised to make a significant impact in the field of metabolic health.
