Nestle-Backed Weight-Loss Capsule Maker Jumps on Clinical Trial

A tiny Israeli company backed by Nestle SA is the latest to catch the eye of investors seeking to capitalize on the surge in interest in drugs that aid weight loss.

Epitomee Medical Ltd. on Monday announced the completion of a pivotal clinical trial in the US. Its shares jumped as much as 75% in Tel Aviv.

The Danish drugmaker Novo Nordisk A/S on Sept. 1 overtook the French luxury powerhouse LVMH to become Europe’s most valuable company, buoyed by demand for its remedies for obesity. While Epitomee is minuscule by comparison, its price surge is another sign of the ...