Drugmaker Teva hires Lundbeck CEO Schultz to restore its health

Drugmaker Teva hires Lundbeck CEO Schultz to restore its healthBy Steven Scheer and Stine Jacobsen JERUSALEM/COPENHAGEN (Reuters) – Teva poached Lundbeck’s Kare Schultz as its new chief executive on Monday, handing the drugs industry veteran the urgent task of convincing investors of the struggling Israeli firm’s future. An acquisition spree saddled Teva with huge debts, eroding confidence in the world’s largest generics drugmaker, whose stock has halved since early August when it cut its forecasts. One key initial decision for Schultz, who will be paid a base salary of $ 2 million a year plus various bonuses and stock options and is getting a $ 20 million signing-on fee, will be to decide whether to maintain Teva as both a generics and specialty drugmaker, split it in two or get out of low-margin, high competition generics.



Yahoo News – Latest News & Headlines