Alexion Names New CEO Following Internal Sales-Practice Probe
March 27 2017 - 2:17PM
Dow Jones News
By Imani Moise
Alexion Pharmaceuticals Inc. named a new chief executive Monday,
months after the company's top leadership abruptly stepped down
amid an internal investigation into sales practices.
Drug-industry veteran Ludwig Hantson will succeed interim CEO
David Brennan. Mr. Brennan, who is now expected to serve as
chairman of the board, took the helm in December after former CEO
David Hallal stepped down abruptly after about 20 months on the
job.
Mr. Hantson joins the company, which is one of the biggest
sellers of treatments for rare diseases, after working as CEO of
Baxalta Inc., where he was known for financial discipline. Under
his tenure, Leerink noted, Baxalta stock generated a 39% return
from June 2015 to June 2016.
Mr. Brennan had been seen by some investors as lacking
operational knowledge of the company, Leerink Partners said.
Alexion didn't immediately respond to a request for comment.
At the conclusion of its investigation in January, Alexion said
unnamed senior management had pressured staff to get customers to
order its flagship drug earlier than needed to meet financial
targets; it said the practices were inappropriate but not
impermissible. The company didn't have to adjust its previous
earnings statements as a result of the investigation.
Shares fell 1.3% to $117.70 during afternoon trading Monday. The
stock has fallen 3.8% so far this year.
Write to Imani Moise at imani.moise@wsj.com
(END) Dow Jones Newswires
March 27, 2017 14:02 ET (18:02 GMT)
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