Tim Tyson is out as chief executive of Aliso Viejo drug maker Valeant Pharmaceuticals International and has been replaced by a turnaround specialist from McKinsey & Co.
J. Michael Pearson, a former McKinsey & Co. director, is Valeant’s new chief executive. He’s served as a consultant on turnarounds and led the consulting firm’s global pharmaceutical practice
He also takes over as Valeant chairman from Robert Ingram, who remains on the board as lead director.
Tyson, who came to Valeant in 2002 and became chief executive in 2005, has been under fire from Wall Street for a lack of progress on a turnaround and for not having a blockbuster drug in the works to boost sales.
Valeant’s shares are down 33% in the past year with a recent market value of $1 billion.
Tyson came to Valeant from the U.S. arm of GlaxoSmithKline PLC and was sought to lead the company for his Big Pharma experience.
He came to Valeant shortly after the shareholder ouster of former chief executive Milan Panic, who ran the company for years as ICN Pharmaceuticals.
In the past few years, Tyson has overseen the sale of global plants and Valeant’s former Costa Mesa headquarters.
Tyson has seen setbacks. Two key executive recruits left the company in the past year. In November, Valeant reported an unexpected third-quarter loss that sent its shares plunging.
