MiddleBrook plots major job cuts as CEO exits

MiddleBrook Pharmaceuticals' downward slide continues. In its full-year results release, the Westlake, TX-based company says it's eliminating its field sales force and significantly reducing its corporate staff to preserve money as it explores its options. As part of the cut-backs, CEO John Thievon will resign effective Monday, March 15, and CFO David Becker will become the acting CEO. Today's announcement follows two rounds of layoffs at MiddleBrook last year; at that time the developer had 145 employees.

MiddleBrook's recurring operating losses and management's substantial doubt about the company's ability to continue as a going concern for at least 12 months following the balance sheet date of Dec. 31, 2009 have led auditors to include a going concern warning in their audit opinion. MiddleBrook has engaged Broadpoint Gleacher Securities Group to help its board of directors to identify strategic alternatives, which could include a possible merger or sale of the company.

With its sales force gone, MiddleBrook says it will rely on its partnership with DoctorDirectory.com to commercialize Moxatag, an antibiotic for strep throat. Moxatag is the company's only marketed drug.

- here's the Wall Street Journal report
- read the Reuters article for more

Suggested Articles

Bristol Myers Squibb is teaming up with Repare Therapeutics to find new synthetic lethality targets in a deal that could be worth billions.

Biotech Orpheris has been given the FDA go-ahead for a phase 2 aimed at calming the cytokine storm sometimes caused by COVID-19.

PureTech plans to start a trial in the emerging population of patients who survive COVID-19 only to suffer lasting damage in the third quarter.