Raft of UK pharmaceutical directors risk being disqualified after CMA ruling
The UK’s competition watchdog has today issued High Court proceedings to disqualify a raft of pharmaceutical directors, including Alliance Pharma’s CEO, over suspected anti-competitive agreements.
The Competition and Markets Authority (CMA) launched the investigation into the UK’s pharmaceutical sector in 2017, and revealed earlier this year that several firms had been impeding competition in the supply of anti-nausea medication.
A competition disqualification order has been filed against seven directors across Alliance, Lexon, Advanz and Focus, which was previously owned by Cinven.
All four companies, as well as private equity firm Cinven, have filed appeals against the CMA’s ruling, which the regulator said it intends to defend.
In a statement today, Alliance Pharma said it was “very disappointed” with the CMA’s decision to take action against its CEO Peter Butterfield amid allegations of anti-competitive agreements in relation to the the drug prochlorperazine.
Alliance chairman David Cook said: “Peter has been on the board since 2010, and was appointed CEO in May 2018. He has been instrumental in helping Alliance to deliver on its growth plans and successfully drive the business forward. He has our full support.”
The disqualification orders follow a £35m anti-competition fine in January, which was also received by pharmaceutical group Medreich.