Monday, January 12, 2015

Getinge takes in the new president – the veteran Malmquist resigns – Swedish newspaper Svenska Dagbladet

Getinge takes in the new president – the veteran Malmquist resigns – Swedish newspaper Svenska Dagbladet

Getinge has had it rough in recent years with a number of profit warnings and a large inspection by the FDA – US Food and Drug Administration engaged – in one of the medical technology company’s business areas.

Alex Myers will assume his new position as President and CEO of Getinge in connection with the AGM on 25 March 2015.

Johan Malmquist has announced Board that he after 26 years at Getinge including 18 years as CEO and CEO wishes to conclude its mission. Johan Malmquist will remain as an advisor to the Board and Managing Director until the AGM in 2016.

– Getinge has Johan Malmquist’s management has evolved into a global medical technology company and a world leader in a number of areas. This is a successful and long-term industrial effort that we are very grateful for the comments Getinge’s Chairman Carl Bennet in a press release.

To comment outgoing CEO Johan Malmquist decision in the press release:

– make the assignment s President and CEO of Getinge has by no means been an easy decision. However, time is right and I am pleased that the Board has appointed Alex Myers, who I know by experience is a competent and respected leader, to my successor.

The announcement initially gave no help for the share. On the contrary. Shortly after publication, Getinge’s shares lost 4-5 percent.

Market reaction can be seen in light of the ongoing FDA investigation is suspected to drag on.

“It This reinforces the view that it is a lengthy process, and it reduces the likelihood that it comes out a clear message, a clear guideline in the near future. It is reasonable that the market understands that, “says Johan Unnerus, medical technology analyst at Swedbank Markets, to Direkt.

A similar picture of the change of CEO gives Richard Koch, an analyst at Kepler Cheuvreux.

“The change of CEO speaks to it is less likely that the FDA ruling becomes positive for Getinge. Maybe announcement delayed, or there is clear and looks bad for the company, “he says, noting that sudden CEO replacements often creates uncertainty in the market.

Can prey be a requirement of the FDA’s side?

“It can not be ruled out,” adds the analyst.

Alex Myers is currently CEO and CEO of bed manufacturer Hilding Anders. He also has a past history of the Getinge Group, including Head of Business Area Extended Care, 2009-2013. Before that he was a member of the Carlsberg Group for ten years, including the last five years as head of the Western European markets.

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