Novo Nordisk announces the departure of its CEO after losing more than 300 billion euros in the stock market.

Danish pharmaceutical company Novo Nordisk , owner of the obesity treatments Ozempic and Wegovy, announced on Friday the departure of its CEO, Lars Fruergaard Jorgensen , in response to recent market challenges, including a falling share price, which has lost more than half its value in the last year. Specifically, it was worth 615 billion a year ago, and has lost more than 300 billion, down to 260 billion.

Thus, the executive, who has led Novo Nordisk since 2017, will continue to lead the company for a period to facilitate a smooth transition to new leadership.

In this regard, the Danish company has indicated that the search process for a new CEO " is underway " and its outcome will be announced in due course.

Also in connection with this change, Lars Rebien Sorensen, Chairman of the Novo Nordisk Foundation, will join the Novo Nordisk Board of Directors , initially as an observer, with the intention of being nominated for election as a Board Member at the 2026 Annual General Meeting.

"Given the recent market challenges, the declining share price, and the wishes of the Novo Nordisk Foundation, the Novo Nordisk Board of Directors and Lars Fruergaard Jorgensen have jointly concluded that initiating a CEO succession is in the best interest of the company and its shareholders ," the company said.

The Danish laboratory has highlighted the significant growth and transformation process during his eight years as CEO of Fruergaard Jorgensen, during which Novo Nordisk's sales, profits, and share price " have practically tripled ."

"Novo Nordisk has a clear strategy, a strong product portfolio, and an experienced management team," the multinational said, adding that the changes are being made in light of the "recent market challenges " the company has faced and the performance of its share price since mid-2024.

"In light of this, the Novo Nordisk Foundation Board initiated a dialogue with the Novo Nordisk Board of Directors on the advantages of an accelerated CEO succession and expressed its desire to increase its representation on the Novo Nordisk Board," the company explained.

" Novo Nordisk 's strategy remains unchanged , and the Board remains confident in the company's current business plans and its ability to execute them," said Helge Lund, Chairman of the Board of Directors of Novo Nordisk.

Lars Fruergaard Jorgensen joined Novo Nordisk in 1991 and was appointed CEO in January 2017. Since his appointment, the Danish laboratory's shares have appreciated by around 240% . Novo Nordisk shares reacted on Friday with falls of more than 3% to the announcement of the CEO 's departure.

Danish pharmaceutical company Novo Nordisk , owner of the obesity treatments Ozempic and Wegovy, announced on Friday the departure of its CEO, Lars Fruergaard Jorgensen , in response to recent market challenges, including a falling share price, which has lost more than half its value in the last year. Specifically, it was worth 615 billion a year ago, and has lost more than 300 billion, down to 260 billion.