Strategic Shake-up at Novo Nordisk: Key Leadership Changes Amid Market Challenges

The chair of Novo Nordisk, Helge Lund, and six other board members are set to resign due to a strategic disagreement with the Novo Nordisk Foundation. Lars Rebien Sorensen is proposed as a temporary chairman. This decision follows leadership changes and a restructuring driven by competitive pressures.

Novo Nordisk is undergoing significant leadership changes as its chair, Helge Lund, and six other board members prepare to resign next month. This development comes after a strategic disagreement between the board and the company's controlling shareholder, the Novo Nordisk Foundation.

The company revealed that an extraordinary shareholder meeting is scheduled for November 14, where Lars Rebien Sorensen—former CEO and current chair of the Foundation—will be proposed as the drugmaker's temporary chairman. This decision aligns with efforts to adapt to a highly competitive obesity drug market that has already led to a leadership overhaul, including the ousting of CEO Lars Fruergaard Jorgensen and significant job cuts.

Helge Lund, who has been chair since 2018, highlighted the lack of a mutual understanding with the Foundation regarding the board's renewal strategy. While the board sought to integrate select new competencies, the Foundation advocated for a more extensive reconfiguration, a factor that ultimately led to their departure.

(With inputs from agencies.)