AstraZeneca Slaps Lawsuit Against Former Employee As He Moves To Close Rival: Report

AstraZeneca Plc AZN has filed suit against former VP and head of investor relations Chris Sheldon as he prepares to start a new job at GSK plc GSK in September, Bloomberg reported.
In a London court filing, AstraZeneca argued that Sheldon would be violating a non-compete agreement, which he was paid more than $774,000 in shares to sign in 2021, Bloomberg reported.
Sheldon worked at AstraZeneca for more than 18 years. He resigned earlier this month, effective immediately, according to Law360.
According to the Bloomberg report, GSK poached Sheldon and another senior dealmaker to boost its cancer therapies and other drugs pipeline.
Sheldon was tasked with identifying late-stage deal opportunities.
AstraZeneca previously headed to court to protect its interests after a senior executive left for a close rival. In 2017 it sued former executive Luke Miels who also moved to GSK.
AstraZeneca and GSK settled in court, with Miels taking a “gardening leave” until joining GSK in September 2017.
However, according to The Times in London, Miels accused Soriot of threatening him over his visa during the resignation dispute.
Price Action: GSK shares are down 2.52% at $34.37, and AZN stock is up 0.90% at $67.34 on the last check Wednesday.

Overview Rating:

Speculative

0100