Former Pfizer Executive Rejects $1 Billion Acquisition Plan, Supports Current Management Team!

Ian Read, the former chief executive of Pfizer, and Frank D 'Amelio, the former chief financial officer, have made it clear that they will not be involved in a deal by activist investor Starboard Value against the company. According to related reports, Starboard Value is seeking to push Pfizer to make changes in order to turn around its performance.

"We have made the decision not to participate in Starboard Value's acquisition of Pfizer," the two executives said in a statement issued Wednesday through Guggenheim Partners, Pfizer's advisory firm.

They further emphasized, "We fully support Pfizer's current Chairman and CEO, Albert Bourla, senior management and board of directors, and are confident that they will create even greater value for shareholders in the future."

Sources previously told Reuters that Starboard Value had tried to reach out to Read and D'Amelio, and that both had expressed interest in assisting the activist investor after acquiring a stake of about $1 billion in Pfizer. However, the statement made clear their rejection of such cooperation.

Neither Pfizer nor Starboard Value immediately responded to Reuters' requests for comment.

Separately, the Financial Times reported on Tuesday, Bourla and Shantanu Narayen, Pfizer's lead independent director, will meet next week with Jeff Smith, chief executive of Starboard Value, and Patrick Sullivan, who oversees healthcare investments Sullivan, for talks.

Pfizer shares have fallen more than 9 percent over the past year, hurt by declining sales of its COVID-19 vaccines and drugs, and are now back to about half their level from their pandemic highs. The pharmaceutical giant is actively seeking new products to make up for lost revenue from the COVID-19 vaccine and pill.

Pfizer has spent about $70 billion on acquisitions since 2020, including its $43 billion acquisition of Seagen last year, and has implemented several cost-saving initiatives in parallel.