Glaxo's new chairman signals support for embattled CEO Witty
- Shareholders and industry observers have been speculating that major changes need to be made at British pharma giant GlaxoSmithKline, which has faced a number of legal and pipeline struggles over the past few years, including potentially replacing CEO Andrew Witty.
- Philip Hampton took over as the new chairman of Glaxo earlier this week, replacing Christopher Gent, and has been tasked with overseeing a turnaround of the firm.
- But according to Seeking Alpha, Hampton isn't prepared to make any big decisions rashly. During Glaxo's annual meeting on Thursday, he signaled support for the company's structure, as well as Witty.
Hampton reportedly said that he hoped Witty would stay on as CEO for the foreseeable future, and he nixed the idea that Glaxo would have to break up and spinoff its consumer health division to remain profitable, saying that it's not clear at this point that that is the best move.
This could all change, of course. Hampton may just be extending an olive branch to the C-suite as he takes on a difficult new role, and he's had plenty of experience diplomatically dealing with institutions and their financial troubles.
- Seeking Alpha Glaxo chairman backs CEO and company structure