Background on Lars Fruergaard Jørgensen
Lars Fruergaard Jørgensen has been the CEO of Novo Nordisk, a leading global healthcare company based in Denmark, since 2017. He joined the company in 1991 and has played a pivotal role in its growth, with sales, profits, and market value tripling during his tenure. Under his leadership, Novo Nordisk expanded its presence in areas such as diabetes, obesity, and other serious chronic diseases.
Market Pressure and Declining Stock Price
In recent months, Novo Nordisk has faced significant market challenges. The company’s stock price has dropped approximately 53% over the past year, putting pressure on its management. In response to these pressures and the evolving market conditions, Novo Nordisk announced that Lars Fruergaard Jørgensen will step down from his CEO position.
Transition Plan and Succession
Novo Nordisk stated that Lars Fruergaard Jørgensen will remain in his position during a transition period to ensure an orderly succession. The search for his replacement is already underway, and the company will announce the new CEO at the appropriate time.
Role of Novo Nordisk Foundation
The Novo Nordisk Foundation, which holds a majority of voting rights through its investment firm Novo Holdings, initiated a dialogue with Novo Nordisk’s Board of Directors to assess the suitability of this leadership change. As part of this transition, Lars Rebien Sørensen, the president of the Novo Nordisk Foundation and former CEO of Novo Nordisk, will participate in Board meetings as an observer with the intention of being formally nominated as a Board member at the 2026 General Shareholders’ Meeting.
Key Questions and Answers
- Who is Lars Fruergaard Jørgensen? Lars Fruergaard Jørgensen has been the CEO of Novo Nordisk since 2017. He joined the company in 1991 and has significantly contributed to its growth during his tenure.
- Why is Lars Fruergaard Jørgensen stepping down? Amidst market pressures and a declining stock price of approximately 53% over the past year, Lars Fruergaard Jørgensen will step down from his CEO position to ensure an orderly succession.
- What is the transition plan? Lars Fruergaard Jørgensen will remain in his position during a transition period to ensure an orderly succession. The search for his replacement is already underway, and the new CEO will be announced at the appropriate time.
- What role will Lars Rebien Sørensen play in the transition? Lars Rebien Sørensen, president of the Novo Nordisk Foundation and former CEO of Novo Nordisk, will participate in Board meetings as an observer. He is intended to be formally nominated as a Board member at the 2026 General Shareholders’ Meeting.
