Struggling drug maker Savient Pharmaceuticals is leaning on PR support as the New Jersey company cuts 35% of its work force and installs a new CEO.
Savient, struggling amid disappointing sales of its gout drug Krystexxa, has engaged Joele Frank, Wilkinson Brimmer Katcher to shore up its communications under senior director of IR and communications Mary Coleman.
Today, Savient promoted executive VP and North American commercial operation president Louis Ferrari to the CEO slot vacated in February by John Johnson. The company also announced a reorganization plan that includes an approximately 35% workforce cut in a bid to save $56M annually by 2013.
Savient shares are trading below $1.
“We sincerely regret having to make the difficult decision to reduce our workforce and want to thank the affected employees for their contributions," said board chairman Stephen Jaeger. “However, given the current environment, these actions are necessary to align Savient's costs with the market to best position the company going forward."
Joele Frank partner Kelly Sullivan works the Savient business.
New York-based Rx Mosaic Health handles PR for Krystexxa.