Eloxx Pharmaceuticals, Inc. Announces Executive Changes; Announces Organizational Re-Alignment
February 27, 2020 at 03:54 am IST
Share
Eloxx Pharmaceuticals, Inc. announced that Robert Ward, Chief Executive Officer, and David Snow, Chief Business Officer, will each separate from the Company effective February 29, 2020, and Gregory Weaver, Chief Financial Officer, will separate from the Company effective March 15, 2020. The Board of Directors has promoted Gregory C. Williams to Chief Executive Officer and member of the Board of Directors, Neil S. Belloff to Chief Operating Officer, in addition to his role as General Counsel. Mr. Tomer Kariv was also elected as Chairman of the Board of Directors. Stephen MacDonald, 49, who started with the Company on October 14, 2019 as Corporate Controller, was promoted to Vice President, Finance and Accounting, and Treasurer of the Company effective immediately. Mr. MacDonald will take over principal accounting officer responsibilities on March 15, 2020. Prior to joining the Company, Mr. MacDonald worked at Tesaro, Inc.
On February 24, 2020, the Board of Directors of company approved a leadership and organizational re-alignment aimed at supporting the Company's efforts to improve operating performance, concentrate development efforts on the Company's core programs, and ensure that those programs are appropriately resourced to deliver value to investors and fulfill the Company's mission to provide treatment options to patients with unmet medical need. The organizational re-alignment will reduce managerial layers and consolidate roles across the organization, resulting in the elimination of 13 full-time positions. These changes will take place effective March 1, 2020. As a result of the re-alignment, the Company expects to achieve annual cost savings of approximately $4.9 million, with anticipated fiscal year 2020 savings of approximately $2.4 million, net of severance costs. The Company expects to incur a one-time pre-tax charge, consisting of employee separation costs of approximately $1.7 million, primarily relating to severance and benefits costs. The Company also expects to incur a one-time non-cash stock compensation charge, relating to accelerated vesting of executive stock awards, of approximately $2.5 million.
Eloxx Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company. The Company is engaged in the science of ribosome modulation, leveraging both its TURBO- ZM chemistry technology platform and its library of aminoglycosides to develop oral small-molecule ribosome modulating agents (RMAs) and eukaryotic ribosome selective glycosides (ERSGs) for the treatment of rare and ultra-rare genetic diseases. Its lead investigational product candidate, ELX-02, is a small molecule drug candidate designed to restore production of full-length functional proteins. The Company is also advancing ZKN-013 as an oral agent for the treatment of recessive dystrophic (RDEB)/ junctional epidermolysis bullosa (JEB) and familial adenomatous polyposis (FAP) patients with nonsense mutations. The Company also has preclinical programs focused on select rare diseases, including inherited diseases, cancer caused by nonsense mutations, kidney diseases, as well as rare ocular genetic disorders.
ELOXX PHARMACEUTICALS, INC. 
