Behind the Money An activist tried to take on Pfizer. Then things got messy
Oct 23, 2024
Oliver Barnes, a seasoned US pharmaceutical correspondent for the Financial Times, teams up with Maria Heeter, a deals expert, to dissect a tumultuous activist investment campaign against Pfizer. They delve into the unexpected blunders, like a mysterious email that turned the tide. The duo discusses Pfizer's post-pandemic struggles, challenges in corporate governance, and how missteps can derail activist strategies in the pharma sector. Tune in for a gripping look at the high-stakes world where boardroom loyalty meets investor ambition!
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The Blank Email
- Pfizer CEO Albert Bourla received a blank email from the former CFO, Frank D'Amelio, with a Starboard Value representative also CC'd.
- This unusual email exchange occurred just before a Pfizer board meeting, sparking confusion and suspicion.
Pfizer's Rise and Fall
- Pfizer's COVID-19 vaccine success dramatically boosted its market cap, but this growth has reversed.
- The company's share price has dropped to pre-pandemic levels due to slowing vaccine demand, competition, and a questioned acquisition.
Starboard's Strategy
- Starboard Value, known for its Olive Garden board takeover, targets Pfizer due to its falling share price.
- Their strategy seems to focus on CEO Albert Bourla due to limited options for structural changes like divestitures or acquisitions.