The company behind weight-loss jab Wegovy and diabetes drug Ozempic will have a boardroom clear-out, with seven board members including the chairman set to depart.

Novo Nordisk on Tuesday said chairman Helge Lund, vice chair Henrik Poulsen and five directors will not stand for re-election at an extraordinary investor meeting in November.

The departures came about after a disagreement between the board and its majority shareholder over its future governance.

It’s the latest in a raft of changes at the Danish company, which welcomed a new chief executive in August and announced it would lay off 9,000 staff in September.

Last month the firm issued a warning on profits due to increased competition from US rivals, and announced a cost-savings programme as it cut its profit growth forecast for the third time this year.

Widespread adoption of Novo Nordisk’s Ozempic diabetes treatment, which is often used off-label as a weight loss drug, and Wegovy had boosted its share price to the point where in summer 2024 it was Europe’s most-valuable company.

Recent competition from rivals like Eli Lilly has eroded that valuation, and shares in Novo Nordisk dipped another 1.7% on the new of a boardroom shake-up.

The departures come after a disagreement between board members from the pharmaceutical company and its majority shareholder, the non-profit Novo Nordisk Foundation, on the extent of changes needed.

The Novo Nordisk Foundation owns 28.1% of the company’s shares, but holds a three-quarter share of the voting rights, which indicates that it holds a lot of sway with how the company is run and who holds senior roles.

Outgoing chair Mr Lund said that the Novo Nordisk board had proposed bringing in several new board members to add new skills, but the Novo Nordisk Foundation “wanted a more extensive reconfiguration”.

The Foundation successfully pushed for the removal of former chief executive Lars Fruergaard Jorgensen in May.

The current chairman of the Novo Nordisk Foundation, Lars Rebien Sorensen, who served as the pharma’s chief executive from 2000 to 2016, is being put forward to replace current chairman Mr Lund, the foundation said.

Mr Sorensen said the pharmaceutical company had been “too slow in recognising fundamental market changes” as the use of its drugs became mainstream and competitors launched rival treatments.

The 40 per cent trans-shipment tariff recently announced by the United States is expected to create significant compliance challenges for companies in India and the ASEAN region, particularly in sectors such as machinery, electrical equipment and semiconductors, Moody’s Ratings said on Tuesday.In July, US President Donald Trump imposed the tariff on goods deemed to have been transshipped, adding to broader country-level tariffs. Moody’s noted that the administration has yet to clarify the precise definition of trans-shipment, though the measures appear aimed at products originating in China and routed through third countries with lower duties, as per news agency PTI.“The lack of clarity around the trans-shipment tariff poses risks to ASEAN economies. If the US maintains a narrow interpretation—targeting only minimally processed Chinese goods re-exported to the US—the impact may be limited. However, a broader approach, covering goods with any significant Chinese input, could damage the Asia-Pacific supply chain,” the report said.Moody’s highlighted that private sector exporters will likely face heightened due diligence and certification requirements, needing to prove “substantial transformation” of goods to avoid penalties. The sectors most exposed include machinery, electrical equipment, semiconductors, and consumer optical products, with trans-shipped goods concentrated in intermediate inputs rather than final consumer items.Trans-shipment, a legal practice involving the transfer of goods through hubs such as ports and rail terminals, supports logistical efficiency and supply chain flexibility. However, it can also be used to obscure product origin to evade tariffs—a concern the US seeks to address with this new measure.While Moody’s indicated that Asean’s manufacturing competitiveness will largely remain intact, noting lower labour costs and ongoing “China+1” diversification strategies, the rating agency warned that the tariff could disrupt regional supply chains and increase operational costs for companies heavily reliant on Chinese inputs.Countries most exposed include Vietnam, Malaysia, and Thailand, given their deep integration with Chinese supply chains, with key sectors facing potential credit pressures spanning electronics, solar energy, automotive, machinery, and semiconductors.India could face similar compliance and operational challenges in sectors such as machinery, electrical equipment and consumer optical products, including semiconductors.The move signals the US administration’s increased scrutiny of global trade flows, especially concerning tariff evasion, and may compel companies to reassess sourcing, certification, and logistical arrangements across Asia-Pacific markets.