OUTSIDER TO REPLACE VAGELOS AT MERCK & CO

The search for a new chairman and chief executive for Merck & Co, to replace Roy Vagelos who is retiring, now seems to be at an end, with the surprise move last week to appoint a total outsider to take over this post.

Raymond Gilmartin, currently chairman and president of the the major US medical supplies company Becton Dickinson, has been recruited for what is probably the top job in the US pharmaceutical industry, and one which follows in the footsteps of a man who is highly regarded in the sector, not only for his management skills but also for the fact that he is a most exceptional scientist.

It also follows a year of speculation and turmoil as to who would inherit the Merck crown, particularly after the unexpected departure last month of Martin Wygod, who came into the group with the acquisition by Merck of Medco Cost Containment Services, and who had been expected to take over running the entire company after Mr Vagelos leaves.