NEW HAVEN, CT- based Alexion Pharmaceuticals, Inc.(NASDAQ:ALXN) shares plunged in early morning trade Tuesday following the company unveiled massive shake up of top management .
This reshuffle includes exodus of its chief commercial officer, chief financial officer and two executive vice presidents.
Most interestingly the firm just hired a new chief executive officer, Ludwig Hantson, in late March, and CFO Dave Anderson started at the company in December. Anderson will quit at the end of August, Alexion said Tuesday.
“These changes appear to be the plan of the recently appointed new CEO, Ludwig Hantson, and we believe signal his intention to make a complete break with the company’s past leadership,” said Leerink analyst Geoffrey Porges, who reiterated an outperform rating for Alexion.
Following the changes, “none of the management team that built the Soliris business, or presided over the value-destroying Synageva deal in 2015, remain in place,” he noted. “These changes are not a absolute bolt from the blue, given the signals that have been coming from new CEO, but will alarm many investors given the apprehension that there may be other ‘shoes to drop’ in terms of disclosure of additional essential issues with the core business and operations.”
Meanwhile Alexion recently said that senior management had demanded staff to get earlier sales of blood disorder medication Soliris. The company blamed, but didn’t name, senior management for not setting the right “tone at the top.”
The company also couple of year back agreed to paid $8.4 billion in cash and stock for Synavega BioPharma Corp., which developed rare disease drugs. The price tag was criticized by many back then as too high.
Furthermore two executives, CCO Carsten Thiel and Executive Vice President, Chief Human Resources Officer Clare Carmichael, are set to leave the company “to pursue new opportunities” starting June 1, the firm said.