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2008-09-22 Zentiva has new structure

Shareholders in Zentiva, the largest Czech drug manufacturer, approved a major shake-up of its structure at an Extraordinary General Meeting (EGM) held in Amsterdam on 3 September. The company has been split, with executives and nearly 300 white-collar workers moved to newly-created Zentiva Group, which will become the new headquarters.

Stakes in foreign subsidiaries and assets worth nearly CZK 7.5bn (€300m) will also be transferred to the new company, while Zentiva retains control over local production, development, sales and marketing. The change is meant to make management more transparent, lines of responsibility clearer and cash flows more diversified as Zentiva faces diverging fortunes in its various markets that include Czech Republic, Slovakia, Romania and Turkey, among others. Weak performance in the Czech and Romanian markets have depressed the company’s share price and led to two unsuccessful takeover bids, from PPF, a vehicle owned by the billionaire investor Petr Kellner, and Sanofi-Aventis. Both were rejected by Zentiva as undervaluing the company.
Source: www.pharmapoland.com, http://uni68284000.obchodvirtualne.sk/index.php