Stada bids farewell to ousted chairman in board reshuffle


Stada’s annual meeting--the culmination of a months-long battle with a rebel investor--has come and gone, and both sides are touting a victory.

The German drugmaker saw its chairman, Martin Abend, ousted at Friday’s marathon gathering, which stretched 14 hours, according to Reuters. But Stada managed to retain control of the company, with its supervisory board electing former deputy chair Carl-Ferdinand Oetker to take Abend’s place.

Stada also succeeded in installing four of its own board nominees, while nemesis Active Ownership Capital got only one of its picks--Novartis ($NVS) vet Eric Cornut--elected.


Survey: The Critical Role of Innovation in Launching Successful OTC Products

This research aims to understand the importance of product innovation and dose forms in driving new product design and development, consumer engagement and purchase interest for Over-the-Counter medicines. The first 50 qualified respondents will receive a $5 Amazon gift card. Take the survey now.

AOC had petitioned to replace 6 of Stada’s 9 supervisory boardmembers, including Oetker. But the way the proxy brawler sees things, it still came up big. As cofounder Klaus Röhrig told the Financial Times, AOC got 90% of what it wanted, and it hailed Abend’s ouster as a “victory for shareholder democracy in Germany.”

Stada and AOC have been at each other’s throats since this spring, with AOC arguing that Stada’s directors were standing in the way of the drugmaker modernizing and becoming more international.

Now, it’ll be up to Oetker and new CEO Matthias Wiedenfels--who recently took the helm when longtime CEO Hartmut Retzlaff departed for health reasons--to address those concerns. And while Wiedenfels Friday acknowleged that the company “had not been transparent enough,” he also said the company’s business model was in “great shape,” as quoted by Reuters.

Meanwhile, other investosr--including U.S.-based Guy Wyser-Pratte--have spoken out in favor of a buyout. Wyser-Pratte recently lobbied for the sale of the company to CVC Capital Partners, a rumored acquirer with whom Stada insists it has not held deal talks.

- read Stada's release
- get more from Reuters
- see the FT's take (sub. req.)

Special Report: Top 20 generics companies by 2014 revenue - Stada Arzneimittel

Related Articles:
Stada CEO officially resigns with company control hanging in the balance
Another activist investor jumps into Stada fray, lobbying for $4B-plus private equity buyout
Stada activist hits back with its own board picks in fierce duel for company control
Stada faces down its proxy brawler with 4 board nominees of its own
New Stada chief knocks down former CEO’s son, fires advisers
Longtime Stada CEO's exit forced by illness amid activist turmoil
Stada eyes €3.7B buyout to dodge activists' demands: WSJ
Note from Stada to activists: We'll replace board members ourselves
Stada agrees to play nice with activist investor for board overhaul

Suggested Articles

How is regulatory evolving to keep up with the digital innovation surge and consumer expectations? How can stakeholders wok better together?

Perrigo is treading water in its specialty drugs reinvention plan. Could a merger with another struggling drugmaker—à la Pfizer and Mylan—be the cure?

Companies routinely update analysts, but a new SEC order for tiny TherapeuticsMD offers a lesson—or reminder—about when to keep quiet.