FRANKFURT, Germany (AP) — Lars Fruergaard Jørgensen, CEO of Danish pharmaceutical giant Novo Nordisk, is stepping down in what the company described as a “mutual agreement” with its board, following a dramatic downturn in its stock value and mounting market pressures.
The announcement, made Friday, comes just one week after Novo Nordisk slashed its sales and profit forecasts, sending shockwaves through investors already grappling with a steep decline in share price. Since mid-2024, the company’s stock has plunged over 50%, wiping out billions in market capitalization and stripping Novo Nordisk of its brief reign as Europe’s most valuable company — a title now reclaimed by software giant SAP.
Once hailed for its revolutionary weight loss drug Wegovy and diabetes treatment Ozempic, both powered by the active compound semaglutide, Novo Nordisk saw its valuation soar past Denmark’s annual GDP. But with slowing demand growth, rising competition, and investor jitters, that momentum has sharply reversed.
The company has not yet named a successor but emphasized its commitment to “long-term innovation and shareholder value” in a rapidly evolving pharmaceutical landscape.
