MacMillan to DePuySynthes? (Walter Eisner @ OTW)
First The Wall Street Journal reported that the former Stryker Corporation CEO was gunning for a job with his old employer, Johnson & Johnson. Now Massdevice.com reported on June 13, that with the DePuySynthes merger completed and rumors of Steve MacMillan “looking like a good fit” to run the new ortho business, would his two-year non-compete agreement with Stryker stand in the way?
The two-year non-compete clause MacMillan signed with Stryker in his February 2012 separation agreement, which paid him $5.5 million in cash and the rights to purchase nearly $65 million worth of stock options seems to be a huge hurdle.
Under the terms of that agreement, which forbids MacMillan directly or indirectly to “own, manage, operate, join, control, be employed by, or participate in the ownership, management, operation or control of, or otherwise be connected in any manner with, including, without limitation, holding any position as a shareholder, director, officer, consultant, independent contractor, employee or partner of, spokesman for, or investor in, any business which is competitive with (x) the businesses of the company or any of its subsidiaries or affiliates,” according to a regulatory filing.
Before joining Stryker and after a stint at Global Specialty Operations of Pharmacia Corporation, MacMillan served as president of Johnson & Johnson—Merck Consumer Pharmaceuticals. He had held numerous other roles at Johnson & Johnson since 1989, including vice president, marketing and professional sales at McNeil Consumer Specialty Pharmaceuticals, and managing director of the UK subsidiary of Johnson & Johnson MSD (Merck). He began his career with Procter & Gamble in 1985, where he held various marketing positions.