COPENHAGEN, May 16 (Reuters) - Novo Nordisk

said on Friday its CEO Lars Fruergaard Jorgensen will step down

following a plunge in the company's share price amid

intensifying competition in the obesity drug market.

"The changes are made in light of the recent market

challenges Novo Nordisk has been facing, and the development of

the company's share price since mid-2024," Novo said in a

statement.

Under his leadership, Novo Nordisk became a first-mover in

the obesity and diabetes drug market, with sky-rocketing sales

of its Wegovy and Ozempic treatments.

Investors have however been concerned that Novo's

first-to-market obesity drug is losing its lead to Eli Lilly ( LLY )

, whose U.S. prescriptions for its Zepbound obesity shot

have surpassed Wegovy since mid-March.

Novo Nordisk's share price fell 2.2% by 1116 GMT. It is down

32% year-to-date.

Jorgensen, who joined Novo Nordisk in 1991 and has been CEO

since 2017, will continue as CEO for a transition period and a

search for his successor is ongoing, it added.