Federal officials are targeting the blockbuster drugs as part of their ongoing initiative to lower drug costs.

The Biden administration said Medicare will negotiate discounts with drug companies on 15 drugs prescribed to treat cancer, diabetes and asthma.

The Biden administration announced Friday that Ozempic, Wegovy and 13 additional drugs will now be covered under Medicare Part-D for price negotiations, the next round of negotiations under the Inflation Reduction Act passed by President Joe Biden in 2022.

Medicare will soon start paying lower prices for Novo Nordisk’s weight- loss drug Wegovy and its Type 2 diabetes treatment Ozempic, the federal agency that manages the program said Friday.The announcement confirms the long-anticipated inclusion of the blockbuster Novo medicines among 15 additional drugs whose prices Medicare will be allowed to negotiate with drugmakers this year.

Stock prices for Novo Nordisk fell by about 3% at market open after the Biden administration selected its revolutionary drugs for mandatory price negotiations.