After selling off a portion of its diabetes care business last year, Ypsomed is now fully exiting the diabetes care business with a plan to trade its insulin pump development arm and remaining subsidiaries to a new Swiss medtech, TecMed, in a deal worth up to 420 million francs or about $512.9 million.
Going forward, Ypsomed will focus on its self-injectors for subcutaneous drug delivery, including GLP-1 medications, as well as its partnerships with biopharma companies.
The company first announced plans to carve out its diabetes division late last year, with TecMed being named the winner of a structured auction process. Prior to that, it sold its insulin pen needle business and blood sugar monitoring operations in March 2024. Ypsomed and TecMed said they expect the latest transaction to be made official in the latter half of 2025.
TecMed said it plans to combine Ypsomed’s tube pump system—the mylife Loop, which includes the mylife YpsoPump and the CamAPS FX artificial pancreas app—with its own patch-pump system currently under development.
“The experience of Ypsomed Diabetes Care as a pioneer in insulin pump therapy will be the ideal set-up for the future launch of our patch-pump,” said TecMed CEO Patrick Schär, who will serve as corporate services officer after the deal closes.
The title of CEO will pass to Sébastien Delarive, the chief business officer for diabetes care at Ypsomed. “By combining our existing mylife Loop solution, our strong commercial presence, and a patch pump currently under development, we are perfectly positioned to capture the momentum in the growing insulin pump market,” Delarive said in a statement.
TecMed—controlled by Swiss billionaire Willy Michel, who helped found Ypsomed Selfcare Solutions—will establish a new headquarters in Ypsomed’s hometown of Burgdorf, Switzerland, with “working space for around 300 employees,” the companies said.
About 200 Ypsomed employees currently working in nearby Solothurn are expected to make the move to Burgdorf, about a half-hour drive away, later this year.
Ypsomed, meanwhile, said it will establish two production halls, a tool shop and a conference center at the Solothurn site aimed at building out its autoinjector business. The company previously inked a deal with Novo Nordisk to support its obesity-focused Wegovy and Ozempic meds; Ypsomed also said it ended a contract manufacturing deal with Sanofi to free up resources for its GLP-1 push.
“We are focusing on capturing substantial opportunities in the subcutaneous self-injection market and expanding our global production capacities,” said Ypsomed CEO Simon Michel. “Our fundamental growth drivers—the increasing popularity of selfcare, as well as the rise of biologics and biosimilars—continue to offer enormous potential.”
Earlier this month, Ypsomed teamed up with digital health developer Sidekick Health to support patients using GLP-1s. The platform allows users and clinicians to automatically log injection data in addition to providing lifestyle and behavioral support.