City welcomes shake-up of Glaxo top brass
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Glaxo Wellcome yesterday moved to ensure a smooth succession at the top by elevating Sir Richard Sykes to the post of executive chairman, while naming Sean Lance as his replacement as chief executive. Mr Lance is currently managing director of the group, with responsibility for all operations outside the Americas.
To make way for the changes, Sir Colin Corness, the incumbent non-executive chairman, is to retire at the annual meeting in May after just two years in the job. Sir Roger Hurn, already a non-executive director, will take on the deputy chairmanship from Sir Richard.
The management changes were being signalled by Glaxo yesterday as part of its long-term succession planning, with Mr Lance earmarked as heir- apparent for the top job.
The group stressed that Sir Richard had not given any date for his final retirement. The moves confirm that Robert Ingram, the head of operations in North and South America who currently reports direct to Sir Richard, has been by-passed in the succession.
A South African, Mr Lance was appointed to his present position in October as part of a management reshuffle which saw the business divided into five business regions around the world.
\He is appointed to a new position of chief operating officer with immediate effect, taking responsibility for the Americas as well as Glaxo's operations in the rest of the world.
Sir Richard will add the role of chairman to his functions as chief executive until the 1998 annual meeting, when Mr Lance moves up to the chief executive's position.
Sir Colin said he had completed his aim of restructuring the board following the retirement of seven non-executive directors and aligning the company's corporate governance with UK best practice.
On a day when the pharmaceuticals sector was already showing good gains, Glaxo's shares added 14.5p to 974p yesterday, with analysts generally welcoming the management news.
Stewart Adkins of Lehman Brothers suggested the changes at the top could see a tougher approach to the business. Mr Lance had experience of the South African market, which was more like the US market in being dominated by private healthcare management organisations rather than government controls, as in Europe.
"He is one of the few people who has had direct experience of these markets. So maybe we will see a more hard-nosed approach to these markets, whereas Richard Sykes was a research and development man."
Paul Diggle of Societe Generale Strauss Turnbull said the moves were "recognition that the group needed a senior figure and a senior spokesman alongside Christopher Sykes".
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments