President Joe Biden’s Inflation Reduction Act allows Medicare to negotiate costly drug prices with pharmaceutical companies.

Ozempic, the blockbuster diabetes shot made by Novo Nordisk A/S, is “very likely” to be one of the next drugs to have its price slashed in bargaining with the US government, a company executive said.

A top executive at Novo Nordisk (NVO) warned Tuesday that the company’s diabetes therapy Ozempic will likely be selected for the next round of Medicare drug pricing negotiations, which aim to seek discounts for blockbuster meds supplied to the federal healthcare program.