New chief named by Glaxo after triple fight

Hot seat: Andrew Witty will have to address worries over diabetes drug Avandia

An unusually public battle to become the new chief executive of Glaxo-SmithKline ended today when the drugs giant said Andrew Witty would replace Jean-Pierre Garnier when he retires in May.

The decision sees British-born Witty beat two rivals, one American and one Canadian, to arguably the most important job in the global health industry. Witty, the youngest of the candidates at 43, pipped David Stout, 54, and Chris Viehbacher, 47, to the post.

Garnier's announcement that he would step down after seven years at the helm sparked much speculation about his successor. The company said in response that it would pick one of three internal candidates, all of whom were given special projects to be assessed by the board, including chairman Sir Christopher Gent.

The public nature of the selection process may mean the two losers feel their positions are now impossible, perhaps presenting an immediate leadership crisis for the new man.

Witty joined Glaxo in 1985, holding various positions in the UK as well as working in Africa and Asia. He is currently head of pharmaceuticals in Europe.

On the face of it, this is a smaller role than that held by Stout, who is president of global pharma, and Viehbacher, head of pharma in the US. America, by far the biggest drugs market-in the world, accounts for half of Glaxo's sales.

Witty lists his interests as rugby, running and cricket. He holds a BA in economics from Nottingham University. Among his first challenges will be to deal with the fallout from claims that diabetes treatment Avandia leads to an increased risk of heart disease. He will also face calls to sell the consumer healthcare unit, which owns Ribena and Lucozade. Critics say it doesn't belong with Glaxo.

Sir Christopher said today: "Andrew's appointment follows a rigorous selection process by the board of directors. The fact that we have been able to select a successor to JP from three strong internal candidates is a testament to the quality of management at GSK."

Analysts and head-hunters have expressed deep scepticism about the public nature of the three-way battle. Some said it was bound to create tensions and undermine a previously strong working relationship between the men.

Each candidate also gave an assessment of the other two to the board as part of a selection process that has taken two years. Glaxo had no comment on speculation that Stout and Viehbacher will now seek new jobs, but insiders insist the board highly

rates both men and hopes they will stay. With a market capitalisation of £75 billion, Glaxo bestrides the globe, holding influence over politicians and governments of all stripes. It is the secondbiggest drug company after the US's Pfizer.

Glaxo shares today slipped back 2p to 1328p.

Create a FREE account to continue reading

eros

Registration is a free and easy way to support our journalism.

Join our community where you can: comment on stories; sign up to newsletters; enter competitions and access content on our app.

Your email address

Must be at least 6 characters, include an upper and lower case character and a number

You must be at least 18 years old to create an account

* Required fields

Already have an account? SIGN IN

By clicking Create Account you confirm that your data has been entered correctly and you have read and agree to our Terms of use , Cookie policy and Privacy policy .

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged in