Novo Nordisk Board Overhaul: Foundation Seeks Rejuvenation Amidst U.S. Market Challenges

Novo Nordisk's board faces significant changes as its top investor, the Novo Nordisk Foundation, seeks a stronger focus on U.S. markets to boost sales of Wegovy. Lars Rebien Sorensen is proposed as the new chair, replacing seven board members following disputes over company strategy and leadership pace.

Novo Nordisk's governance structure is undergoing a major transformation. Significant shifts began as the Novo Nordisk Foundation, which owns a substantial stake and is linked with philanthropic ventures, opted for sweeping changes aimed at revitalizing the company's trajectory, especially within the pivotal U.S. market.

The board's restructuring sees Lars Rebien Sorensen, a former CEO of Novo, positioned to steer the board, as seven current board members step down amid dissatisfaction with the current strategy pace. U.S. market challenges, escalating pressures from policymakers like President Trump, and competition from Eli Lilly underscore the urgency of this strategic pivot.

Amidst restructuring, CEO Mike Doustdar's efforts manifest in sweeping job cuts and renewed consumer engagement strategies. The foundation's move reflects a concerted effort to solidify market standing and enhance investor confidence, underscored by plans to bolster U.S. representation on the board while navigating a rapidly evolving pharmaceutical landscape.

(With inputs from agencies.)