Novo Nordisk Faces Boardroom Shakeup Amid Foundation's Bold Move

In a bold move disrupting the pharmaceutical giant, shares in Novo Nordisk dropped by 3% on Wednesday after the Novo Nordisk Foundation, the company's top investor, proposed an extensive board overhaul. The proposed board changes aim to align with the company's new strategic direction, causing uncertainty among analysts and investors.

The non-profit foundation has announced that current chair Helge Lund and six independent members will step down next month. In their place, Lars Rebien Sorensen, a former Novo CEO and current chair of the foundation, is set to become the company chair for three years. Six additional new board members have been proposed to complement this shift.

This shakeup comes just months after Mike Doustdar took over as CEO, leading to skepticism about the timing and magnitude of these changes. Barclays analysts described the overhaul as a 'structural governance reset,' pointing towards Novo's pivot to enhancing consumer engagement, focusing on the U.S. market, and pursuing potential deals.