Merck Reorganizes Combined Company

WHITEHOUSE STATION, N.J (TheStreet) -- Merck(MRK Quote) today outlined the organizational structure of the new mega company formed by its planned merger with Schering-Plough(SGP Quote).

Merck has also named the senior management team that will run the company's divisions after the $41 billion acquisition closes, which is scheduled for the fourth quarter.

In a press release, Merck said the integration has been designed to seek "significant growth opportunities in three key areas: emerging markets, biologics and vaccines."

About 40% of Schering-Plough's senior executives will maintain their roles at the new company, Merck said, while a "substantial majority" of Schering's total employees will keep their jobs.

The new company will have five divisions: Global Human Health, Animal Health, Consumer Health Care, Merck Research Laboratories and Merck Manufacturing. Schering Plough executives will head up two of those five divisions: Animal Health and Consumer Health. The rest will be led by Merck employees.

Merck CEO Richard Clark, who will take the reigns of the combined outfit, said that the company will also hire senior executives from outside Merck and Schering-Plough.

-- Written by Scott Eden in New York