Sector News

Medical device maker ConvaTec names Genus top boss as CEO

March 26, 2019
Life sciences

British medical devices maker ConvaTec Group Plc on Monday named Genus Plc’s top boss Karim Bitar as its chief executive officer and said Chairman Christopher Gent would retire from his role.

The company said outgoing Chief Executive Officer Rick Anderson will become executive chairman on a temporary basis from May 9 and will work with senior leadership until Bitar joins on Sept. 30. After that, Anderson will serve as interim non-executive chair.

The announcement, which confirms a Sky News report, comes after the catheter and colostomy bag maker reported disappointing annual results and launched a turnaround plan in February.

ConvaTec has been struggling to find its footing after being hit by logistical issues, recalls and a change in inventory policy by a leading customer, named by analysts as Medtronic .

The company’s former CEO Paul Moraviec, who guided ConvaTec through a $1.8 billion initial public offering in 2016, stepped down last October following warnings of lower sales and profitability, which had sent shares plummeting to a record low.

Analysts at Peel Hunt said that a turnaround is unlikely “overnight”, but Bitar’s track record of investing to deliver transformation at Genus bodes well for ConvaTec.

“There will, no doubt, be some investor regret that a successful CEO is moving on but Genus has a well-established wider management team and a clear strategy to which the board is fully committed,” Liberum analysts said.

Genus, an animal genetics company, said it has started a search for a new CEO.

By Shashwat Awasthi and Tanishaa Nadkar

Source: Reuters

comments closed

Related News

May 21, 2022

As monkeypox cases emerge in US and Europe, Bavarian Nordic inks vaccine order

Life sciences

A monkeypox outbreak is emerging in the U.S. and Europe, and at least one country is amping up countermeasure preparedness. Bavarian Nordic has secured a contract with an unnamed European country to supply its smallpox vaccine, called Imvanex in Europe, in response to the emergence of monkeypox cases, the Danish company said Thursday.

May 21, 2022

Moderna chairman Afeyan defends hiring practices after CFO debacle: report

Life sciences

Moderna’s recent chief financial officer debacle—in which Jorge Gomez departed on his second day on the job—raised questions about the company’s hiring process given its rush to global biopharma prominence. The most obvious one: How was it possible for Gomez to be hired when he was under investigation by his previous employer, Dentsply Sirona of Charlotte, N.C.

May 21, 2022

Merck to pay up to $1.4B in cancer deal with Kelun, but details are scarce

Life sciences

Merck & Co. is plucking a cancer project from the branch of Chinese-based Kelun Pharmaceutical for up to $1.4 billion, but details from the New Jersey-based Big Pharma have been hard to come by. The deal, first disclosed Monday on the Shenzhen stock exchange, has Merck handing over $47 million in upfront cash in exchange for ex-China rights to a “macromolecular tumor project.”