Novo Nordisk, maker of obesity drug Wegovy, to cut 9,000 jobs to sharpen focus, meet competition

Core Insights - Danish pharmaceutical company Novo Nordisk announced a job cut of 9,000 positions, representing 11% of its workforce, to enhance focus on growth opportunities in obesity and diabetes medications [1][3] - The restructuring aims to save 8 billion Danish krone ($1.25 billion) by the end of 2026, with savings redirected towards research and development in diabetes and obesity [2] - The company is responding to increased competition in the obesity drug market, particularly from competitor Eli Lilly, and aims to foster a performance-based culture [4] Company Actions - Implementation of job cuts will begin immediately, with affected employees being notified over the next few months [3] - The company has a total workforce of 78,400 employees [3] - Novo Nordisk's CEO, Mike Doustdar, emphasizes the need for the company to evolve in response to market changes [4] Market Context - Novo Nordisk's market capitalization once exceeded Denmark's annual GDP, making it Europe's most valuable company [5] - The company produces Wegovy and Ozempic, both based on the same active ingredient, semaglutide, which have driven significant share price increases in the past [4]