Medarex names new president
Friday, May 18, 2007
BY BILL MOONEY
[As reported by local newspaper]
PRINCETON TOWNSHIP -- Biopharmaceutical company Me darex has hired a new president following a four-month search.
The company that concentrates on antibody-based therapies for cancer and other diseases reported it has hired industry veteran Howard H. Pien, 49, as president and chief executive officer. Pien was chairman and chief executive of Chiron until its merger with Novar tis in 2006. Since then he has been a consultant.
He will take over June 14 from Irwin Lerner, who had been interim president since November when Chief Executive Donald Drakeman was forced out following a contro versy over a probe into backdated stock options. Lerner will remain chairman of the board.
Pien will be paid $750,000 a year, and he could earn a bonus of from $750,000 to $1.1 million if performance goals are met.
He declined to comment di rectly on some of Medarex's past problems and said, "I think it's too early for me to make any statement about changes in strategy or in direction. I can tell you that I very much embrace the assertion that Medarex is probably peerless in its sphere."
The company has not had one of its drugs make it to the marketplace yet, but Pien said Medarex "has a robust technology plat form," with more than 30 of its therapeutic candidates in testing or awaiting trials. "Many of those are partnered (with other compa nies), which is a validation of the promise of those candidates," he said.
In addition to his tenure with Chiron, Pien also previously was president of the international pharmaceuticals business of GlaxoSmithKline, was president of SmithKline Beecham, and also worked for Abbott Laboratories and Merck. As part of his arrival at Medarex, Pien announced his resignation yesterday from the board of directors of competitor Immuno Gen in Cambridge, Mass.
In January, following an internal investigation into the backdating of stock options, Medarex announced it had reached agreements with seven senior executives and board members in which they agreed to reprice their options if and when they are exercised.
Last year, in connection with the options controversy, Medarex reported it may have to restate some financial statements, it received a warning from Nasdaq about possible delisting because quarterly reports were delayed due to the internal investigation, and several shareholders filed suit.
But Pien expressed optimism about the company's future. "In the last few days I had the chance to meet senior leaders (of Meda rex) and I would say to a person there is a palpable passion for the promise of biotechnology. It is this passion that has underlined and underpinned the resilience of this company, having undergone a most challenging year."
Medarex closed yesterday at $14.90, down 26 cents from the day before.
[But today it closed at $16.13, missing the 52w high by just 10 cents].
nj.com |
