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Glaxo deal back on?
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October 12, 1998: 7:27 a.m. ET
SmithKline chief mulling retirement says report, shares soar
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LONDON (CNNfn) - Shares of pharmaceuticals giants SmithKline Beecham and Glaxo Wellcom are racing ahead Monday on reports that merger talks between the two are back on.
A report in London's Sunday Times said SmithKline chief executive Jan Leschly could be considering early retirement, although the company denies this.
Leschly, reputed to be the UK's highest-paid boss, is seen as a major obstacle to a successful merger between the companies.
"If he leaves a major sticking point would be removed," one insider told CNNfn.
Talks fell apart in February, and SmithKline talked then of "strained relations" between the two boards.
SmithKline told CNNfn that the newspaper report is inaccurate, and pointed out that Leschly's official retirement date is his 62nd birthday. He was 58 in September.
Glaxo stock was up about 6 and a half percent, or 102 pence at 1652 in mid-day trading. SmithKline rose 27.5 pence, or 4.75 percent, to 606. 
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