Novo Nordisk Revamps Korea Operations and Extends Buyback as Lilly Rivals Tighten Grip
Published on 07/09/2026 at 11:33 | Redaktion boerse-global.de
The Danish pharmaceutical heavyweight is mounting a two-pronged defense against its American rival Eli Lilly, combining a structural overhaul in South Korea with a multi-billion-krone share repurchase program. The moves come as Lilly’s GLP-1 portfolio continues to erode Novo Nordisk’s market position across key territories.
In Seoul, Novo Nordisk Korea is merging its previously separate obesity and diabetes divisions into a single unit. The restructuring aims to accelerate decision-making and sharpen the company’s competitive edge. A local physician has been appointed to lead clinical and medical affairs, signaling a push to regain regional control over a market that has slipped dramatically.
The numbers underscore the urgency. Eli Lilly’s Mounjaro commanded a 78% share of South Korea’s injectable weight-loss market in May, while Novo Nordisk’s Wegovy languished at just 15%. Revenue figures tell a similar story: Lilly generated roughly 323 billion won in first-quarter sales, compared with just over 104 billion won for Wegovy. A 40% wholesale price cut on Wegovy earlier this year failed to stem the tide, and Lilly has since introduced additional high-dose Mounjaro variants.
The pressure is hardly limited to Asia. In the United States, Lilly’s Zepbound has overtaken Wegovy as the market leader, capturing nearly 60% of weekly prescriptions. Doctors in the U.S. now write more than 100,000 additional prescriptions for Zepbound each week compared with Wegovy.
Should investors sell immediately? Or is it worth buying Novo Nordisk?
Against this competitive backdrop, Novo Nordisk is leaning on financial engineering to support its stock. HSBC recently lifted its price target to 300 Danish kroner from 280, while maintaining a hold rating. The broader analyst consensus is cautious: only 7 of 24 analysts tracked recommend buying the stock, with the majority sitting on the sidelines.
The company is also pressing ahead with a share buyback program that runs through February 2027, authorizing repurchases of up to 11.2 billion kroner. Early this month, Novo Nordisk had already bought back around 23 million shares for roughly 6.2 billion kroner, removing supply from the market and providing a floor for the stock.
The operational response has been equally sweeping. Last year, the board replaced CEO Lars Fruergaard Jorgensen with Mike Doustdar and cut approximately 9,000 jobs — roughly 11% of the global workforce.
Novo Nordisk at a turning point? This analysis reveals what investors need to know now.
The stock has clawed back some ground from its lows. Shares closed recently at around 42.80 euros, gaining nearly 17% over the past month. The 50-day moving average at 39.20 euros has helped underpin the short-term rally. Still, the 12-month picture remains grim: investors are sitting on a loss of about 28%.
The restructuring in South Korea reflects a broader pattern of Novo Nordisk fighting a multi-front war against Lilly’s rising dominance. Whether the revamped Asian leadership can deliver a turnaround will be a critical test for CEO Mike Doustdar, even as the buyback program buys the company time.
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