BOSTON and LONDON - Akari Therapeutics, Plc (NASDAQ: NASDAQ:AKTX), a biotech firm focusing on autoimmune, oncology, and inflammatory diseases, has formalized the appointment of Dr. Samir (CSE:SAM) R. Patel as its Chief Executive Officer and announced the addition of Abizer Gaslightwala to its Board of Directors, both effective as of Monday. The micro-cap company, currently valued at approximately $25 million, faces significant financial challenges, with InvestingPro data indicating a weak financial health score of 1.57 out of 10.
Dr. Patel, who has been serving as the interim CEO since May, brings over two decades of experience in life sciences to the role. He is the founder of PranaBio Investments, LLC, and has previously founded SPEC Pharma, LLC. His experience includes multiple roles at Centocor, Inc. (now part of Johnson & Johnson), and he holds multiple patents and has been involved in numerous clinical research studies.
In conjunction with Dr. Patel's appointment, Akari also welcomed Mr. Gaslightwala to its Board of Directors. Mr. Gaslightwala is currently the Senior Vice President and Franchise Head for Oncology at Jazz Pharmaceuticals (NASDAQ:JAZZ) and has a 25-year history in the development and commercialization of novel medicines. His career includes leadership roles at Amgen (NASDAQ:AMGN), Pfizer (NYSE:PFE), and Johnson & Johnson, and he has served as an advisor at the Boston Consulting Group.
The company also acknowledged the resignation of board member Michael Grissinger, expressing gratitude for his years of service.
Akari's portfolio includes investigational nomacopan and an antibody drug conjugate (ADC) platform. The company recently completed a merger with Peak Bio in November, a move that Dr. Patel believes has positioned Akari for continued growth and value creation. However, InvestingPro analysis reveals the stock has declined by nearly 65% over the past six months, with current liquidity metrics showing short-term obligations exceeding liquid assets. According to InvestingPro's Fair Value assessment, the stock appears to be trading near its fair value. Subscribers can access 8 additional key insights about AKTX on InvestingPro.
This news comes as Akari focuses on streamlining operations and prioritizing its portfolio, particularly its ADC platform, which targets the spliceosome and aims to set new standards of care for cancer patients. Financial metrics from InvestingPro show the company operates with a current ratio of 0.29, indicating potential liquidity challenges as it pursues these strategic initiatives. Analysts currently do not anticipate profitability this year, highlighting the importance of successful execution under the new leadership.
The information in this article is based on a press release statement from Akari Therapeutics.
In other recent news, Akari Therapeutics has appointed Dr. Torsten Hombeck as the new Chief Financial Officer. Dr. Hombeck, with a substantial background in healthcare finance, has served as CFO at various biopharmaceutical companies, including Akari. These recent developments also include Akari's merger approval with Peak Bio, Inc., an all-stock transaction expected to result in equal ownership for both companies' shareholders.
The company has also been grappling with a potential Nasdaq delisting due to an equity shortfall, and it hopes the merger with Peak Bio will aid in regaining compliance. However, there is no certainty that the merger will secure the company's position on the Nasdaq exchange. Akari Therapeutics also appointed Rob Bazemore, a professional with over three decades of experience in the life sciences sector, to its Board of Directors.
Furthermore, Akari Therapeutics successfully raised approximately $7.6 million in a private placement financing round. These recent developments, including the appointment of a new CFO, merger approval, and successful funding round, highlight Akari Therapeutics' strategic moves in its operations.
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