1:58 PM
Feb 14, 2018
 |  BC Extra  |  Company News

Aradigm execs resign weeks after CRL

Aradigm Corp. (NASDAQ:ARDM) said President and CEO Igor Gonda, CMO Juergen Froehlich and CFO and VP of Finance Nancy Pecota resigned on Feb. 11, according to an SEC filing.

The company named Chairman John Siebert as executive chairman and interim principal executive officer. Aradigm said its board "approved temporary measures intended to preserve the Company’s cash resources until additional sources of capital can be identified."

On Jan. 29, Aradigm said FDA issued a complete response letter for Linhaliq liposomal ciprofloxacin to treat non-cystic fibrosis bronchiectasis in patients with chronic Pseudomonas aeruginosa lung infections. Aradigm shares sank $0.65 (29%) to $1.59 on that day and slipped to $1.11 at market close on Friday, Feb. 9.

Linhaliq is a dual-release product consisting of a liposomal-encapsulated form of ciprofloxacin, a DNA gyrase inhibitor, mixed with a solution of free ciprofloxacin for inhalation. Grifols S.A. (Madrid:GRF; NASDAQ:GRFS) has exclusive, worldwide rights to Linhaliq from Aradigm under a 2013 deal.

On Monday, the first trading day after the resignations, Aradigm added $0.23 (21%) to $1.34. Its shares climbed $0.07 on Wednesday to close at $1.43.

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