Teva has already decided to move its U.S. headquarters, and now it’s planning to move its worldwide headquarters, too.
The company will relocate to Tel Aviv from Petah Tikvah, Israel in mid-2020—after it builds an office building there, a spokeswoman confirmed by email. Teva has chosen a site in the city’s Ramat Hahayal district, and the new structure will house only Teva employees. Teva will be leasing the building.
The reasoning behind the move is no surprise, given the generics giant is in the midst of implementing a $3 billion cost-cutting drive. Putting Teva’s headquarters under one roof—instead of at sites scattered around Petah Tikva—will save the company money, the spokeswoman said.
“Combining into one site … will be an efficient and cost-effective solution, generating significant savings from a business and operations point of view,” she wrote, adding that it will also “fulfill our goal of working as One Teva.”
As part of CEO Kåre Schultz’s grand restructuring, unveiled this time last year to help the company out of immense debt, Teva also agreed this summer to an address change in the U.S. after shuttering pricey offices in New York and Washington, D.C. Lured by a $40 million tax break from the state of New Jersey, the company switched its home base to Parsippany from North Wales, Pennsylvania.
There, it also has a construction project to complete. “It is an astronomical build-out process,” Harvey Rosenblatt, founder of the real estate developer that owns and manages Teva’s new building, told NJ.com in July.
Meanwhile, as Globes pointed out, the Tel Aviv news is likely to go over well in Israel’s home country, where concerns have persisted—thanks in part to the hiring of Danish Schultz, as well as plenty of local layoffs—that Teva is losing its Isareli identity and could even relocate to a new country.
By Carly Helfand
Source: Fierce Pharma
As inflation, high interest rates and a tight investment environment continue to create headaches, 72% of CFOs said economic volatility poses the same or greater risk to their business this year compared to 2023 in a recent survey from BDO — and there are more changes afoot.
McMullen, who’s also currently president of Agilent, is set to abdicate both roles on May 1, according to an announcement the company put out Wednesday afternoon. From there, McMullen will spend a few months serving as an advisor to Agilent and to his successor until his retirement becomes final on Oct. 31.
AstraZeneca has concluded its acquisition of China-based clinical-stage biopharmaceutical company Gracell Biotechnologies for $1.2bn. The acquisition, initially agreed in December 2023, positions Gracell as a wholly owned AstraZeneca subsidiary with operations continuing in the US and China.