Novo Nordisk Open to New York Listing as US Market Gains Importance
Synopsis
Novo Nordisk is open to a direct New York Stock Exchange listing, CEO Mike Doustdar told the Financial Times, although the Wegovy and Ozempic maker is not currently exploring the move.
Novo Nordisk is open to considering a direct listing on the New York Stock Exchange, CEO Mike Doustdar told the Financial Times, as the Danish drugmaker looks to strengthen its presence among US investors.
The move would replace the American depositary receipts through which US investors currently trade the company’s shares.
However, Novo is not actively exploring a direct US listing at present.
Novo Nordisk New York Listing Could Replace ADRs
Doustdar said the company could see some advantages in listing its shares directly in New York. He also said the idea has been discussed over the past decade as Novo’s investor base has gradually shifted beyond Scandinavia.
The US has become increasingly important for Novo Nordisk. The country accounts for more than half of the company’s revenue and most of its sales of diabetes and obesity medicines. That includes its widely used Wegovy and Ozempic treatments.
Still, Doustdar made clear that the company is not currently holding active discussions about a Novo Nordisk NYSE direct listing. He said he would consider the idea by looking at its potential advantages and disadvantages before making any decision.
Novo Faces Pressure in the Weight-loss Market
The listing discussion comes at a difficult time for the Wegovy Ozempic maker. Novo’s shares have fallen more than 70% from their peak as competition from Eli Lilly has intensified. Lilly’s Zepbound is expected to generate more sales than Wegovy this year, with the gap forecast to exceed $7 billion.
Novo became Europe’s most valuable listed company in 2023 after demand for Wegovy surged following its 2021 launch. Since then, the company has been working to regain momentum while expanding its obesity and diabetes pipeline.
A Novo Nordisk US listing would give the company a more direct presence in the world’s biggest capital market, but Doustdar’s comments show that the idea remains under consideration rather than an announced corporate move.
Source: Reuters
Vishal is an experienced Editor at Inspirepreneur Magazine with key interests in artificial intelligence, eCommerce, entrepreneurship, lifestyle and startup sector. Prior to joining Inspirepreneur, he was a Content Writer cum Correspondent at Siliconindia Magazine, where he worked on Company Profiles, Cover Stories, Executive Profiles, Feature Articles and Thought Leadership content.
