Novo Nordisk Under Siege: Battle for Weight-Loss Drug Supremacy

Novo Nordisk once dominated the weight-loss drug market with Wegovy. However, rising competition, particularly from Eli Lilly, has significantly impacted its market position, leading to substantial financial losses. The firm, now under CEO Mike Doustdar, is taking decisive actions to reclaim its status in the pharmaceutical industry.

Novo Nordisk, the once-dominant name in weight-loss pharmaceutical treatments with its product Wegovy, is facing turbulent times. The Danish company's prominence has waned, as heightened competition, most notably from Eli Lilly's Zepbound, erodes its market share.

Under the leadership of new CEO Mike Doustdar, Novo Nordisk is striving to regain its footing after losing over $400 billion in market capitalization. In response to these challenges, Doustdar has initiated significant cost-cutting measures and is bracing against an assertive board and potential acquisition threats from rival Pfizer.

The challenges are multifold: improving sales of Wegovy in a competitive landscape, tuning financial strategies to cope with rising costs, and recapturing investor confidence as the firm's valuation has drastically fallen from over $650 billion to approximately $219 billion.

(With inputs from agencies.)