Novo Nordisk announced that CEO Lars Fruergaard Jørgensen will step down after eight years. The Danish pharmaceutical giant faces fierce competition in the obesity drug market.
The board described the decision as a “mutual agreement,” following a 50% share price decline since mid-2024 and disappointing trial results for the next-generation drug CagriSema. Jørgensen, with Novo since 1991, will remain temporarily to ensure a smooth transition, with a successor search underway.
#PRESS Lars Fruergaard Jørgensen to step down as CEO of Novo Nordisk
— Novo Nordisk (@novonordisk) May 16, 2025Novo Nordisk, maker of blockbuster drugs Wegovy and Ozempic, cited lower-than-expected Q1 Wegovy sales and competition from compounded U.S. obesity drugs as key factors. According to Reuters, the company cut its full-year growth forecast but anticipates recovery as the FDA phases out these alternatives. Shares fell 1.8% on Friday, while rival Eli Lilly’s rose 1.7%, reflecting market dynamics reported by Bloomberg.
Wegovy-maker Novo Nordisk ousted CEO Lars Fruergaard Jorgensen over concerns the company is losing its first-mover advantage in the highly competitive obesity drug market https://t.co/IvzidIzTC0 pic.twitter.com/YV27KT9ayR
— Reuters (@Reuters) May 16, 2025Chairman Helge Lund emphasised that Novo’s strategy remains unchanged, with confidence in its business plans. Former CEO Lars Rebien Sørensen, now chair of the Novo Nordisk Foundation, will join the board as an observer. The leadership shift follows the recent departure of commercial strategy head Camilla Sylvest.
Jørgensen expressed surprise to TV2 Denmark, stating he hadn’t anticipated the exit. Novo Nordisk aims to strengthen its obesity drug market position despite challenges. The CEO transition is pivotal for the company’s global strategy and investor confidence.
