EY vet set to replace retiring Amgen CFO Meline
Ahead of its third-quarter results next week, Amgen on Tuesday disclosed the planned retirement of David Meline, who has served as the company’s chief financial officer since 2014.
Meline will be replaced by Ernst & Young vet, Peter Griffith, as CFO come January 1, 2020 — but until then Griffith will serve as executive vice president, finance.
“Over the last 5 years at Amgen, Meline instituted many major changes that led to operational efficiencies and margin expansion while successfully returning cash to shareholders. Now that Amgen is on solid footing, it was a good time to step away,” Cowen’s Yaron Werber wrote in a note. “We do not anticipate any major changes to strategy or operations immediately due to this transition as Amgen is on solid footing.”
Amgen, whose adjusted profit numbers tend to always beat Wall Street expectations, has had an eventful year.
The potential of its early-stage KRAS drug AMG510 in certain cancers has sparked feverish excitement and inspired blockbuster expectations; Amgen in September halted enrollment for a cancer drug touted as a bright prospect in its early-stage oncology pipeline after signs of “cardiac toxicity” in a similar experimental drug with the same mechanism raised safety concerns at the FDA, prompting a clinical hold; Amgen’s once-rejected osteoporosis drug Evenity secured FDA approval; in a bid to secure a patent advantage in the PCSK9 market, the company’s legendary lawyer corps lost a legal battle against rivals Regeneron and Sanofi — although the legal team did score a big win against Novartis’ generics arm Sandoz over the patents covering Amgen’s blockbuster TNF inhibitor Enbrel; and with rumors of an Alexion buyout looming, Amgen took Wall Street by surprise by spending $13.4 billion to buy the psoriasis drug Otezla from Celgene — ahead of its $74 billion merger with Bristol-Myers Squibb.
Griffith joins Amgen from a private equity and advisory firm, Sherwood Canyon Group, where he served as president. Previously, he retired from EY following a more than 20-year tenure — most recently he served as EY’s global vice chair, corporate development.
Meline joined Amgen from 3M, where he also served as CFO. Previously, Meline worked for General Motors, including vice president and CFO for GM North America.