Doustdar Takes Helm at Novo Nordisk Amidst Market Challenges

In a decisive move to tackle recent market challenges, Novo Nordisk has appointed Maziar Mike Doustdar as its new Chief Executive Officer. An internal company veteran, Doustdar replaces Lars Fruergaard Jorgensen, whose sudden exit in May left investors jittery. Doustdar steps in as Novo faces significant hurdles, including a slump in sales and a steep drop in stock value following profit warnings.

The Danish pharmaceutical giant, backed by its controlling shareholder, the Novo Nordisk Foundation, has seen its trajectory waver due to increased competition in the lucrative U.S. market. With the launch of Wegovy, Novo initially dominated the weight-loss drug sector, only to be overtaken by Eli Lilly's Zepbound in recent months, reversing its first-mover advantage.

Doustdar, an Austrian national with a rich international portfolio, currently serves as vice president for international operations and begins his new role on August 7. His immediate challenge is revitalizing Novo's performance in the U.S., especially as compounded versions of Wegovy and tariffs pressure profit margins. Investors and analysts are watching closely to see how Doustdar navigates these complex dynamics.

(With inputs from agencies.)