Ian Read, chairman and chief executive officer of Pfizer Inc., gestures as he speaks during a panel session at the World Economic Forum (WEF) in Davos, Switzerland, on Tuesday, Jan. 17, 2017.
Activist Starboard Value accused Pfizer of threatening litigation against the company's former CEO and CFO in order to get them to break ranks with the investor's nascent turnaround campaign at the pharmaceutical giant.
Pfizer shares slipped overnight as news of the two executive's breakaway emerged, and opened down roughly 2.5% in Thursday morning trading.
Starboard's Smith said that when the activist approached the two executives, both expressed "concerns" about Pfizer's direction under Bourla and offered to help Starboard in its turnaround campaign.
Starboard's Smith and Bourla are slated to meet in person next week, Smith said, confirming earlier reports.
Persons:
Ian Read, Pfizer, Jeff Smith, Frank D'Amelio's, Smith, Albert Bourla, Starboard's Smith
Organizations:
Pfizer Inc, Economic, Pfizer
Locations:
Davos, Switzerland