Sanofi Poaches Novartis CEO, Gilead Targets BMS Executive as MNC Leadership Shakeup Intensifies

Sanofi’s New CEO, Novartis’ New President, and Gilead’s New Chief Commercial Officer Announced in Succession; Foreign Media Report That AstraZeneca’s Chairman and CEO May Step Down

1. Sanofi’s New Leader Confirmed

Paul Hudson

On June 7, the new CEO candidate for Sanofi was finally revealed. Starting from September 1, 2019, Paul Hudson will take over the position of Chief Executive Officer at Sanofi, succeeding Olivier Brandicourt, who is set to retire.

Paul Hudson previously served as CEO of Novartis Pharmaceuticals and a member of the Novartis Executive Committee. Now 51 years old, he has accumulated 28 years of extensive experience in the pharmaceutical industry. He has worked at renowned multinational pharmaceutical companies including GSK, Schering-Plough, AstraZeneca, and Novartis, and holds leadership and management experience in the US, Japanese, and European markets. In May 2016, Novartis restructured its pharmaceuticals business, splitting it into two major divisions: “Novartis Pharmaceuticals” and “Novartis Oncology.” Paul Hudson, former President of AstraZeneca’s US region and Executive Vice President for North America, was appointed Global CEO of Novartis Pharmaceuticals.

Sanofi’s management stated that Paul Hudson will help the company address new strategic challenges, particularly in the areas of research and development and digitalization.

Olivier Brandicourt joined Sanofi in April 2015, having previously served as the CEO of Bayer. At that time, Sanofi was facing challenges, with its diabetes business under price pressure and a pipeline of new drug candidates awaiting development. Upon joining, he implemented structural reorganizations and cost-cutting measures, refocusing the company’s operations on five core business units: generics and emerging markets, specialty care, diabetes and cardiovascular, vaccines, and animal health, while also strengthening Genzyme’s rare disease business, thereby gradually improving Sanofi’s performance.

In 2018, Sanofi’s performance declined, and the company disclosed that it had reduced Olivier Brandicourt’s compensation by 25%. Under these circumstances, there is external anticipation as to whether Paul Hudson, who is set to assume office in September, can bring about a new turnaround in Sanofi’s performance.

2.Novartis Announces New President

Marie France Tschudin

As Paul Hudson was confirmed as the new CEO, Novartis also announced its new president, appointing Marie France Tschudin as President of Novartis Pharmaceuticals and a member of the Novartis Executive Committee.

Tschudin previously held positions at Janssen Pharmaceuticals, Schering-Plough, and Celgene. In the biopharmaceutical industry, Tschudin began her career as a sales representative at Janssen-Cilag, a subsidiary of Johnson & Johnson, and worked at Celgene for ten years prior to joining Novartis. During her tenure at Celgene, she led the company’s hematology business across the Europe, Middle East, and Africa (EMEA) markets.

In January 2017, she joined Novartis as the Head of the European Region, managing a diverse team that generated over $8 billion in sales. She currently serves as the President of Advanced Accelerator Applications (AAA), the French oncology pharmaceutical company acquired by Novartis in 2017.

For the newly appointed president, she will also shoulder significant responsibilities in areas such as new product launches and internal management at Novartis.

Last month, Novartis CEO Vas Narasimhan mentioned the company’s plan to launch 25 new drugs in the coming years, including 10 potential blockbuster medications. As Novartis’ product portfolio becomes increasingly diversified—with the introduction of novel therapies such as the CAR-T cell therapy Kymriah, Zolgensma (a one-time gene therapy for spinal muscular atrophy known as the most expensive drug ever developed), and the multiple sclerosis drug Mayzent—rapid market expansion for these new products has become crucial. Furthermore, under CEO Vas Narasimhan’s current strategic direction, Novartis is focusing on emerging fields such as digitalization, big data, and artificial intelligence, with Tschudin set to take on part of this responsibility.

3.AstraZeneca Chairman and CEO to Step Down?

Pascal Soriot

According to a recent report by Sky News UK, AstraZeneca Chairman Leif Johansson may step down, and the company is currently seeking a successor for the chairman role.

Leif Johansson has served as Chairman of this British pharmaceutical giant since 2012. Under the UK’s independent director regime, independent directors are subject to conditional term limits, with a “comply or explain” principle applied to their tenure. Those serving more than nine years must provide a statement on their independence; they may continue to serve provided that the Board of Directors or the shareholders’ general meeting deems them independent. At this point, it has been seven years since Leif Johansson assumed the role of Chairman of AstraZeneca, leaving less than two years before a decision on his re-election and the required independence assessment must be made.

British media also reported that sources familiar with the matter revealed that AstraZeneca has not yet set a clear timetable for the leadership transition, but the company’s Nominating and Governance Committee is closely monitoring the situation.

Foreign media reported that AstraZeneca declined to comment on the aforementioned reports. Meanwhile, Pascal Soriot, Global CEO of AstraZeneca, faced a similar situation, having also joined AstraZeneca as Global CEO in 2012.

Leif Johansson and Pascal Soriot have helped AstraZeneca navigate a series of challenges posed by patent expirations during their tenures, particularly steering the company through a takeover crisis. In 2014, Pfizer had planned to acquire AstraZeneca for £69.4 billion (approximately RMB 730 billion), a deal that would have become the largest acquisition in the history of the pharmaceutical industry at that time, sending shockwaves through the sector. Ultimately, AstraZeneca successfully fended off the takeover bid, a feat largely attributable to the efforts of Chairman Leif Johansson and CEO Pascal Soriot.

To ward off a takeover, Soriot even committed to achieving $40 billion in performance by 2023. In 2018, AstraZeneca recorded sales of $21 billion; although this fell significantly short of the target, Soriot publicly stated that the goal remained within reach.

Previously, Leif Johansson mentioned the UK’s independent director system rules in an interview with a Swedish media outlet. He further stated, “I am aware of this rule, but Pascal and I have not yet made any decision regarding succession.”

An investor believes that Leif Johansson will step down within 18 months, and his successor will seek a replacement for Soriot.

AstraZeneca is not the only pharmaceutical giant in the UK seeking a new chairman. In January, GSK officially announced that its chairman, Philip Hampton, had informed the board of his intention to step down, and the board had begun the search for a successor. He stated that with Pfizer divesting its consumer health business, “I believe this is the right time to depart, allowing a new chairman to oversee this process in the coming years and lead GSK into a new phase.”

4.Gilead to Appoint New Chief Commercial Officer

Johanna Mercier

In late May, Gilead also announced its new leadership team. Johanna Mercier will serve as Chief Commercial Officer of Gilead Sciences effective July 1.

Previously, Johanna Mercier led BMS’s business operations in the United States, Germany, France, and Japan. In August 2017, she became Head of U.S. Commercial Operations at BMS, and a year later, she assumed responsibility for commercial operations in Germany, France, and Japan as well.

Despite the imminent injection of new talent such as Johanna Mercier, executive-level personnel changes and work handovers appear to be one of the key issues Gilead needs to address in the near term.

On December 9, 2018, Gilead Sciences announced that Daniel O’Day would assume the roles of Chairman of the Board and Chief Executive Officer effective March 1, 2019. After taking the helm, he quickly began consolidating his team; however, it was evident that the company would soon face operational pressures stemming from personnel changes. Robin Washington, who had long served as Gilead’s Chief Financial Officer, had publicly announced her plan to retire in March of the following year, while Alessandro Riva, Executive Vice President and Head of the Oncology and Cell Therapy Center, had already left the company in March to join another organization.

Original Title: Sanofi Poaches from Novartis, Gilead Targets BMS, Rumors Swirl About AZ’s Global Chief Stepping Down? MNC Executive Shakeup Again—Who’s Next?