The Trump administration is closing in on a deal to allow Medicare to cover certain weight-loss drugs produced by Eli Lilly and Novo Nordisk, a move that could dramatically reduce the estimated cost of coverage, Axios reported on Tuesday.

The proposed agreement, if finalized, could have far-reaching implications for access by Americans to the medications, as Medicare policies often set a precedent for private insurers.

Sources told The Wall Street Journal that a deal would allow the lowest doses of some of weight-loss drugmakers' obesity drugs to be sold to consumers at $149 for a month’s supply via TrumpRx.

The deals would also result in Medicare and Medicaid covering the drugs for weight loss, the people said, which would be a boon to the companies.

The discussions are still ongoing, but if deals are finalized, President Donald Trump is expected to announce them Thursday morning at the White House, alongside pharmaceutical executives, the sources told The Wall Street Journal.

Medicare already covers GLP-1s for diabetes, heart disease and sleep apnea, according to Axios. In addition, approximately half of seniors with obesity are already eligible for the drugs due to other conditions.

In April, the Trump administration did away with a Biden-era proposal to permit Medicare and Medicaid to cover GLP-1s to treat obesity. The plan would have cost approximately $40 billion over 10 years.