Exhale: Nektar Cuts Jobs As It Pushes Exubera
Make a commentBy Ed Silverman // February 12th, 2008 // 9:58 am
Does anyone remember Exubera? In pharma, one controversy is quickly replaced by another, so for those who forgot, the product is an insulin inhaler, which Nektar Therapeutics manufactured for Pfizer. But the device was widely ridiculed for its unwieldly size, which resembled a bong, and the big drugmaker not only failed to anticipate the problem, but was unable to put sufficient marketing smarts behind a campaign.
So last fall, Pfizer famously pulled out from the deal, although not before acrimonious exchanges between execs at the two companies came to light, further embarassing Pfizer’s standing as a drugmaker smaller firms would want as a partner. They later resolved their differences with a $135 million payment. Nektar, meanwhile, bravely - perhaps stubbornly - vowed to soldier on.
Now, though, Nektar is cutting 110 jobs, or about 20 percent of its workforce, and eliminated 40 open positions, while insisting plans will proceed to find a new marketing partner. Meanwhile, Hoyoung Huh, Nektar’s chief operating officer, is leaving to join BiPar Sciences, as ceo, although he was named to Nektar’s board yesterday. This is the regulatory filing with the details.
For its part, Pfizer bounced 660 workers from an Indiana plant where a specialized production process was used to churn out the device. Although the drugmaker is opening a new inhaled medication unit at its facility in France.