Depomed has announced that CEO James Schoeneck resigned from his position and that Arthur J. Higgins, former chief executive of Bayer’s healthcare unit, has been appointed as CEO.
The move came after nearly a year during which the activist investor Starboard Value LP had criticized Depomed’s board over alleged governance deficiencies and urged it to explore a sale.
Arthur J. Higgins, along with William McKee, former chief financial officer at Barr Pharmaceuticals, and Starboard Value partner Gavin Molinelli have joined the board of directors.
“We are pleased to have reached an agreement to work with Depomed and believe that Arthur Higgins is an excellent choice to lead Depomed,” said Gavin Molinelli.
U.S. Democratic Senator Claire McCaskill asked the nation’s top opioid drugmakers, including Depomed, for internal estimates of the risk of abuse, addiction and overdose of opioids, as lawmakers step up efforts to tackle the deadly opioid crisis.
Source: The Wall Street Journal