Warner-Lambert's Chief Says Company Is Open to Acquisitions
By ELYSE TANOUYE
Staff Reporter of THE WALL STREET JOURNAL
PARSIPPANY, N.J -- Warner-Lambert Co. isn't for sale, but it is certainly open to
opportunities to acquire other products or companies such as its planned
purchase of Agouron Pharmaceuticals Inc., the company's incoming chief
executive said.
In an interview after Warner-Lambert's annual meeting here, Lodewijk J.R. de
Vink said, "We can do it on our own, we've shown it in the past. We aren't
hanging the 'for sale' sign on the door. It's not what we want to do." But he added
that the company has the wherewithal to make acquisitions. He declined to
comment further, citing regulatory restrictions surrounding the company's
pending acquisition of Agouron.
Warner-Lambert's stock has taken a pounding lately because of concerns that its
diabetes drug, Rezulin, can cause liver damage in some patients. Company
officials at the meeting stressed that the liver toxicity is very rare, reported so far
in 34 patients out of 1.6 million who have taken the drug.
Retiring Chairman Melvin Goodes told shareholders that newer diabetes drugs
that rival companies are about to introduce into the market have been tested in a
few thousand patients only and thus any potential rare side-effects, such as
those seen in Rezulin, won't turn up until the drugs are mass marketed.
Mr. Goodes said the company plans to conduct head-to-head studies comparing
Rezulin's safety and efficacy against the new competitors entering the market.
As to the issue of whether Warner-Lambert would agree to be acquired or to
merge with another drug company, he said, "no way." He closed the meeting,
and his 34-year career at Warner-Lambert, saying "the best days lie ahead" for
the company. His retirement will be official Saturday.
Mr. de Vink, meanwhile, said the company will try to expand its blockbuster
cholesterol drug, Lipitor, to markets around the world. He also said Lipitor's sales
are expected to keep growing strongly.
Warner-Lambert shares rose $1.50 to $68.375 in New York Stock Exchange
composite trading Tuesday. |
