COPENHAGEN/LONDON – The chairman of Novo Nordisk (NOVOb.CO) and six independent board members will resign following a dispute with the company’s controlling shareholder, the Novo Nordisk Foundation, amid efforts to revive sales of its weight-loss drug Wegovy.

The board shake-up comes after the drugmaker’s shares fell more than 40% this year, losing market share to rival Eli Lilly (LLY.N) in the U.S. The foundation criticized the outgoing board for moving too slowly to adapt to market changes and proposed former Novo CEO Lars Rebien Sorensen as temporary chairman for the next two to three years.

Chair Helge Lund and other directors will step down at an extraordinary shareholder meeting scheduled for November 14. The foundation aims to increase its influence and accelerate decision-making in a “rapidly changing environment.”

Novo’s new CEO, Mike Doustdar, has already launched a restructuring plan, including 9,000 global job cuts, to help restore investor confidence. Analysts see the board renewal as a potential power shift, allowing the foundation to steer strategy more directly.

Shares dipped around 1.7% after the announcement.

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Key Points:

• Chair Helge Lund and six independent directors resign
• Former CEO Lars Rebien Sorensen proposed as temporary chairman
• Board dispute over company strategy and composition
• Novo Nordisk aims to revive Wegovy sales amid Eli Lilly competition
• CEO Mike Doustdar leading restructuring with 9,000 job cuts