Wednesday, February 4, 2009

Molecular Insight shuffles board; Babich to retain CEO role

By Marc Songini

Cambridge-based Molecular Insight Pharmaceuticals Inc. has unveiled new board and senior management appointments, and adopted a shareholder rights plan.

Molecular Insight (Nasdaq: MIPI) is focused on creating disease treatment at the molecular level. The company this past week announced its board of directors elected Anthony Martin as nonexecutive chairman of the board. It also elected John Babich CEO; since 2008, Babich had served as interim chairman and CEO and will retain the titles of president and chief scientific officer. The board also appointed Paul Looney as COO, replacing John McCray; Paul Granger will serve as vice president and general counsel.

Last month, the company announced the resignation of David S. Barlow from the company’s board of directors. In a news release, Martin stated that new CEO Babich had played an integral role in building the pipeline of product candidates and overseeing programs through clinical trials and the U.S. Food and Drug Administration approval process. Babich will continue to oversee discovery research and development and handle clinical strategy. Looney will be responsible for day-to-day operations.

The board also announced it had adopted a shareholder rights plan. The plan will ensure fair and equal treatment for shareholders in case of an unsolicited or unfair takeover attempt. However, the company stated the rights agreement wasn’t approved in response to “any known offers” and is similar to rights plans adopted by many other companies.

For 2007, Molecular Insight reported a net loss of $59.8 million on $730,000 in revenue.