Hikma Pharmaceuticals said Chief Executive Riad Mishlawi is stepping down by ⁠mutual agreement, marking a change of leadership as the British drugmaker grapples with manufacturing delays and ⁠margin pressures that ‌have weighed on its share price.

Executive Chairman Said Darwazah, who is a former CEO of Hikma, will lead the company while the ⁠board searches for a permanent successor. Chief Financial Officer Khalid Nabilsi will join the board and take on expanded management duties to help deliver the group's strategic plans, the company said.

"The Board is confident in Hikma's future growth prospects under ⁠the experienced leadership of Said," ​Victoria Hull, Hikma's senior independent director, said in a statement.

Mishlawi is retiring after over 20 years at ‍the generic drugmaker, including serving as president of its Injectables business since 2011 and CEO since September 2023.

During ​his tenure as CEO, Hikma shares have lost about 31% of their value. They fell over 1% in early trading on Monday, to their lowest levels since December 2022.

In November, the drugmaker trimmed its margin outlook and narrowed its 2025 profit guidance after pushing back the opening of its new U.S. factory in Bedford, Ohio to late 2027, citing equipment delays.

REAFFIRMS GUIDANCE

The leadership change also comes on the heels of Bill Larkins' departure as head of the injectables unit, a role Mishlawi had temporarily filled ⁠before his own exit. The division, which accounted for ‌42% of revenue last year, has faced particular pressure amid the manufacturing delays.

Hikma reaffirmed on Monday its 2025 guidance.

Darwazah has over 40 years of experience at ‌Hikma and previously ⁠served as CEO from 2007 to 2018 and again from 2022 to 2023.

(Reporting by Raechel ⁠Thankam Job in Bengaluru; Editing by Mrigank Dhaniwala and Susan Fenton)