In an abrupt and surprising twist, the CEO of Ozempic-maker Novo Nordisk has been ousted from his position as the head of the company. The Danish pharmaceutical giant announced Friday that, amidst a recent downturn in the company’s stock, Lars Fruergaard Jørgensen would soon be stepping down as its top executive and the board would seek a successor for him.
“As per mutual agreement with the Novo Nordisk Board, Lars Fruergaard Jørgensen will step down from his role as CEO of Novo Nordisk,” the company said, in a press release. “He will continue as CEO for a period to support a smooth transition to new leadership.”
It surely seems odd that Novo Nordisk isn’t doing too well. After all, it’s the company behind a breakthrough drug, semaglutide, that can make seemingly anyone—from Jim Gaffigan to Oprah—shed pounds instantly. Still, while Ozempic and Wegovy have secured status as global household names, Novo Nordisk’s stock price has seen a significant downturn over the past year, as competitor brands have crept into the market. In its statement on Jorgensen’s ousting, the pharmaceutical company notes that the swiftly changing landscape for weight loss products is what has led to the shakeup in company leadership. “The changes are made in light of the recent market challenges Novo Nordisk has been facing, and the development of the company’s share price since mid-2024,” the press release from the company reads.
It also notes, however, that Jorgensen managed to shepherd the company into steadily better economic waters for the better part of a decade before market troubles hit in 2024: “During his eight-year tenure as CEO, Novo Nordisk’s sales, profits and share price have almost tripled,” the company writes. “Considering the recent market challenges, the share price decline, and the wish from the Novo Nordisk Foundation, the Novo Nordisk Board and Lars Fruergaard Jørgensen have jointly concluded that initiating a CEO succession is in the best interest of the company and its shareholders.”
Gizmodo reached out to Novo Nordisk for more information and will update this story if it responds.
