It’s a bad week to be a healthcare company CEO.
Novo Nordisk, creator of blockbuster GLP-1s Ozempic and Wegovy, announced May 16 that CEO Lars Fruergaard Jørgensen is out “per mutual agreement” between Jørgensen and the company board. He’ll stay on while the company hunts for a replacement.
The company’s sales, profits, and share price almost tripled during Jørgensen’s tenure, but he’s been ousted “in light of the recent market challenges Novo Nordisk has been facing, and the development of the company’s share price since mid-2024,” a release said.
The company’s share price is about half of what it was a year ago as sales decline amid competition from copycat semaglutide compounders—not to mention rival Eli Lilly’s obesity GLP-1, Zepbound, Healthcare Brew previously reported.
Wegovy’s $2.6 billion in sales during Q1 2025 was a 13% drop from $3 billion in Q4 2024. Ozempic’s nearly $5 billion in sales fell almost 3% from $5.1 billion in Q4 2024.
Compounders will no longer be allowed to sell semaglutide starting May 22, but apparently, that wasn’t enough to reassure everyone.
The deets. The Novo Nordisk Foundation—a nonprofit that owns the pharmaceutical company and holds the majority of votes at the Novo Nordisk annual general meeting—told the Novo Nordisk board that it wanted to discuss “the merits of an accelerated CEO succession” and increase the foundation’s board representation.
The board and Jørgensen agreed it was time for him to go.
Alongside Jørgensen’s exit, the company also announced Lars Rebien Sørensen, chair of the Novo Nordisk Foundation, will join the Novo Nordisk board, first as an observer with a board nomination set for 2026.
Novo Nordisk’s stock fell nearly 3% by Friday afternoon, per the Wall Street Journal.
Navigate the healthcare industry
Healthcare Brew covers pharmaceutical developments, health startups, the latest tech, and how it impacts hospitals and providers to keep administrators and providers informed.