UK lawmakers plan to probe Pfizer pursuit of AstraZeneca

By Kylie MacLellan and Ben Hirschler

LONDON, April 30 (Reuters) - British lawmakers intend toinvestigate U.S. drugmaker Pfizer's planned $100 billiontakeover of British rival AstraZeneca in a bid to ensurescientific research and jobs are protected.

Members of the parliamentary business, innovation and skillscommittee are worried that the deal, which would be thebiggest-ever foreign acquisition of a British company, couldthreaten the country's strategic interests.

"We are keen to look closely at it," committee member AnnMcKechin told Reuters.

"We will see how events pan out over the next few days, butclearly given the scale of the proposed merger it is importantthat we consider the impact not just on shareholders but also onemployees and the wider interests of the UK."

AstraZeneca, Britain's second-biggest drugmaker behindGlaxoSmithKline, is an important part of the lifesciences sector and employs nearly 7,000 staff in the country.

Politicians are wary of foreign takeovers in the light ofKraft's 2010 acquisition of Cadbury, when the U.S. foodgroup promised to keep open a key factory, only to go back onthe pledge soon after the deal was completed.

"The committee previously had a great deal of concern overthe Cadbury takeover, so I think this is one we will really haveto closely analyse what is on offer," McKechin said.

Pfizer already has a tarnished reputation in Britain afterit announced plans in 2011 to shutter a major drug research sitein Sandwich, southern England, where Viagra was invented, withthe loss of nearly 2,000 jobs.

The U.S. firm says it views Britain as an attractivelocation for both pharmaceutical research and manufacturing -helped by recent government tax incentives - but cannot make anyfirm commitments on future investment or jobs.

Pfizer Chief Executive Ian Read is in Britain to lobbypoliticians and investors about his plans. The government has sofar adopted a neutral stance on the matter, but behind thescenes officials are warning Pfizer against making draconianresearch job cuts, industry sources said.

Pfizer has made two approaches to AstraZeneca, both of whichhave been rebuffed. The company is widely expected to come backwith a revised offer before a May 26 deadline for it to "put upor shut up" under UK takeover rules. (Editing by David Holmes)