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

·1 min read
  • AstraZeneca Plc (NASDAQ: 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 (NYSE: 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.

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