Analysis-Novo Nordisk should look to the US for its next CEO, analysts say

Patrick Wingrove and Maggie Fick

Fri, May 16, 2025, 12:49 PM 4 min read

By Patrick Wingrove and Maggie Fick

(Reuters) -As Denmark's Novo Nordisk shops for its adjacent CEO to regenerate Lars Fruergaard Jorgensen, it should look crossed the Atlantic for a person profoundly entrenched successful the United States, by acold its largest market, analysts told Reuters.

Novo, which manufactures the fashionable weight-loss cause Wegovy, said connected Friday its existent CEO volition measurement down implicit concerns the institution is losing its first-mover vantage successful the highly competitory obesity cause market.

Financial analysts Reuters spoke with said an American whitethorn beryllium amended placed to woody with a Trump administration, which is rewriting the rules connected pharmaceutical trade, manufacturing, regularisation and cause pricing.

The Danish drugmaker became a satellite person successful the weight-loss cause marketplace nether Jorgensen's leadership, but successful the U.S., the largest marketplace for these drugs and wherever they are the astir profitable, it has struggled against U.S. rival Eli Lilly.

Novo has gone head-to-head with the Indianapolis institution for customers, signing contracts with insurers and launching a direct-to-consumer offering to lucifer Lilly's obesity cause Zepbound. But Zepbound prescriptions surpassed those of Wegovy this twelvemonth by much than 100,000 a week. Clinical trials amusement the drugs connection value nonaccomplishment of 15% to 20%, though a Lilly-run head-to-head proceedings recovered Zepbound was much effectual than Wegovy crossed 5 weight-loss targets.

The Danish drugmaker needs idiosyncratic who understands the U.S. strategy amended due to the fact that they person "not competed to the aforesaid grade that Lilly has ... and it decidedly feels similar they are astatine a competitory disadvantage," said Barclays expert Emily Field.

Novo, Denmark's largest drugmaker, has lone had 5 CEOs successful its 102-year history, each Danish, and naming a CEO from the U.S. would beryllium a departure.

Jorgensen's predecessor, Lars Rebien Sorensen, who volition present articulation the committee successful an perceiver role, had the apical occupation from 2000 to 2016. Mads Ovlisen was successful complaint from 1981 to 2000.

Lilly's CEO has met galore times with President Donald Trump portion Novo said it has not.

Novo executives said connected a telephone connected Friday with investors they would look astatine some interior and outer candidates and that the hunt is ongoing.

When asked whether an American CEO was needed, Jorgensen told Reuters: “I deliberation we person a superb president of our U.S. enactment who is an American and has been successful the manufacture for long, and I deliberation we are truly well-covered there."

He was referring to the caput of the U.S. business, Executive Vice President David Moore, who replaced Doug Langa past year.