Novartis may have a long way to go before it's done cutting its blockbuster R&D budget. With a major strategic review underway, Novartis CEO Joe Jimenez told analysts that its massive drug research operation still offers a fresh source of spending cuts--even after a number of moves aimed at concentrating more of its R&D operations in the company's main research hubs in the U.S., Europe and Asia.
Want the latest on Novartis' should-we-or-shouldn't-we asset review? Leerink Partners analysts met with CEO Joe Jimenez recently, so they can deliver that and more, including some hints at cost-cutting targets.
Novartis' productivity program saved the company $2.8 billion last year, CEO Joe Jimenez said Wednesday as he discussed the company's tepid fourth quarter and 2013 financial results. The most recent target for manufacturing cuts, he said, is a plant in Suffern, NY, which produces Diovan for the U.S.
Should Novartis sell off its Roche stock, and soon? That's the question Bloomberg poses, now that Roche's voting shares are selling at a big discount to its nonvoting stock. With Novartis weighing all its operations for sale, spinoff, joint venture--what have you--the bet is that CEO Joe Jimenez will liquidate the Roche shares, too.
Novartis Chairman Joerg Reinhardt and CEO Joe Jimenez were once in competition for the chief executive post. Jimenez won out; Reinhardt left to run Bayer Healthcare. Now, Reinhardt's back--but rather than wrest power away from Jimenez, he plans to give Jimenez more.
Novartis CEO Joe Jimenez says the pharma giant easily has enough cash on hand to keep the dividends flowing to investors while reserving up to $6 billion for new bolt-on buyouts. In an interview with the Swiss newspaper Schweiz am Sonntag, which was picked up by Reuters, Jimenez says that the sweet spot for deals lies in the $2 billion to $4 billion arena--modest for a company of that size.
After Novartis's investor day, the spotlight quickly moved to the company's $5 billion buyback plan. CEO Joe Jimenez and his team also unveiled some details--a few, at least--about the company's strategic review.
News flash from Basel: Yes, Novartis really is considering selling off a few of its units, in deals that could be worth $15 billion to $20 billion. And no, Roche and Novartis aren't likely to embark on any big joint projects, much less consider a merger.
Novartis CEO Joe Jimenez wrote to Indian Commerce and Industry Minister Anand Sharma, accusing the government of favoring domestic companies over multinationals in its patent regime. Now, Indian Commerce Secretary S.R. Rao has fired back.
At a total of 5 million francs, Daniel Vasella's new exit package is a small fraction of the 72 million originally approved by the Novartis board. But at a time when executive pay is under the microscope in Switzerland, some watchdogs are still unhappy.