"I think that there is very good respect among the three companies in New Jersey, and good relationships and good dialogue," said Fred Hassan, Schering-Plough chief executive. "In fact, I had a cordial conversation with [Johnsons Johnson chief executive officer] Bill Weldon this morning."...
Merck merger reshaping industry landscape Completing major deal while driving in reverse $41.1B deal may create a big tions as a result of the merger, but announced crash has closed the initial public offering that a hiring freeze has been put into effect route to capital formation. Hart said her An issue in the $41.1 billion merger is a joint player, but analysts caution of immediately at both companies. members “are shelving programs, some have venture between Johnson & Johnson and short-term pain through layoffs Merck has its headquarters in the White- done layoffs and they are looking at any way Schering-Plough to market the drug Remi- house Station section of Readington; Schering- they can save money.” cade, which would be invalidated by a change BY BETH FITZGERALD Plough is based in Kenilworth. But she said it’s possible that the creation in control at Schering-Plough. NEW JERSEY pharmaceutical titans Merck and The announcement comes less than two of giant pharma companies will create more But the companies insist there is no Schering-Plough announced a $41.1 billion months after Pfizer revealed a $68 billion deal opportunities for small biotechs to do collabo- change in control, because the deal is a cash and stock merger last for Madison-based Wyeth. rations with the biggest players. “reverse merger” — Schering-Plough will be week that they said will deliv- Debbie Hart, presi- The merger is likely to result in layoffs in the surviving corporate entity, and will then er a strong pipeline of new “It ensures that dent of BioNJ, the associa- New Jersey from the headquarters staffs of the change its name to Merck. drugs, high single-digit earn- Merck will be one of tion of the state’s biotech- two companies, said James Hughes, a Rutgers Officials of Merck and Schering-Plough ings growth and $3.5 billion a nology firms, said she’s University economist. downplayed the Remicade issue during a year in cost cutting. the big players, and concerned the mergers will This will create short-term pain, but in the conference call last week. Fred Hassan, chief exec- hopefully be strong result in layoffs. long run, “it ensures that Merck will be one of “I think that there is very good respect utive at Schering-Plough, said “We’re wondering who’s the big players, and hopefully be strong enough among the thr
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