How GLP-1 drugs impact health systems expansion, investment plans

Editor's Note

A shuttered bariatric surgery center in Oklahoma last month is just one example of how the rise of Glucagon-like peptide-1 (GLP-1) agonists are reshaping health systems’ investments, Axios reported August 13.

Rather than “massive hospital towers with cardiology clinics, dialysis beds and joint replacement centers,” the focus is likely to shift to “facilities focused more on lifestyle and metabolic health,” the outlet reports.

The article cites two examples of the trend. As reported by The Oklahoman, the closure of Norman Regional weight loss clinic was attributed to a 30% drop in bariatric surgeries in one year resulting from GLP-1s such as Novo Nordisk’s Ozempic and Wegovy. Similar concerns also prompted a health system in Philadelphia to cancel plans for a bariatric surgery expansion.

The rise of GLP-1s adds to other shifts affecting health system investments, including changing reimbursements, new care delivery models, and remote care technology.

Citing a poll from Kaufman Hall, Axios reports that roughly 1 in 8 US adults have taken a GLP-1. This amounts to approximately 15 million people—a number likely to rise if more insurance carriers opt to cover the drugs. In fact, J.P. Morgan projects as many as 30 million Americans could be taking the drugs by 2030.