John Lechleichter, chief operating officer of Eli Lilly, will take over as chief executive when incumbent Sidney Taurel stands down at the end of March, the US pharmaceuticals group announced on Tuesday.

Mr Taurel, who has run the company since 1998, will remain chairman of the board until the end of 2008 before fully retiring as part of a long-expected succession plan. He said he felt confident in leaving with Eli Lilly performing well, a long-term vision in place and Mr Lechleichter well prepared to take over.