Merck has named the senior management team that will lead the new company following the merger of Merck and Schering-Plough.
Richard Clark was named CEO of the combined company when the merger agreement was signed in March.
The new structure will build on the combined strengths of Merck and Schering-Plough to “create a more customer-focused, innovative and diversified global health care company”, Merck said.
The business will take on a more cross-divisional approach, focusing on the key areas of emerging markets, biologics and vaccines.
As well as the current combined portfolio of products, the company also intends to create new franchises focused on Women’s Health and Endocrine, and Mature Brands.
About 40% of Schering-Plough’s senior leaders will have executive roles. The company has also announced that a substantial majority of Schering-Plough employees will remain with the combined company.
“Today’s announcement is an important step in establishing the new Merck as the leading global health care company – one that will make a difference in the lives of patients around the world,” said Mr Clark. “Collectively, the new leadership team has decades of industry experience and proven management track records.
“To complement our joint talent, we will be adding leaders from outside the two companies with specific experience in key areas. I am confident that the new Merck will have the right team in place to be able to deliver on the promise of this strong combination with Schering-Plough.”
The new Merck will have five primary divisions: Global Human Health, Animal Health, Consumer Health Care, Merck Research Laboratories and Merck Manufacturing. Each division and global support function leader will be a member of the new Merck Executive Committee and will report directly to Mr Clark:
- Kenneth Frazier, currently Executive Vice President and President of Global Human Health (GHH), will lead the new GHH organisation
- Raul Kohan, currently Senior Vice President and President of Intervet Schering-Plough Animal Health, will lead the new Merck’s animal health business
- Stanley Barshay, currently Chairman of Consumer Health Care at Schering-Plough, will lead this business for the new Merck on an interim basis while the company searches for a permanent leader
- The new Merck Research Laboratories (MRL) will be led by Peter Kim, PhD, currently Executive Vice President and President of MRL
- The new Merck Manufacturing division (MMD) will be led by Willie Deese, currently Executive Vice President and President of MMD.
Mr Clark added: “Our integration teams have been busy laying the groundwork for the combined company and, thanks to their hard work and dedication, our integration planning is proceeding smoothly and on schedule.”
Merck and Schering-Plough expect the transaction to close in the fourth quarter of 2009. Until that time, they will continue to operate as separate companies.