Former Fauldings exec takes helm at Biota

Peter Cook is Biota Holdings' (ASX:BTA) new CEO and managing director, starting next Friday.

Cook will commence with Biota on Monday and replaces US-based CEO Peter Molloy, who will finish working for the company on Friday, the day Cook takes up his new role.

"You've got to have a handover and quite often in these situations you don't," Biota's chairman John Grant told Australian Biotechnology News. "But the reality is that this is a very smooth and amicable change of leadership, which is excellent for the company."

Cook was previously CEO of Perth-based engine developer Orbital Corporation and is a former CEO of Hospital Pharmaceuticals for F.H. Faulding & Co in Adelaide, a position he held from 1999 to 2000. Cook has also held senior management positions with Ansell Australia, most recently as president of protective products, and was a board member of Ansell International from 1991 to 1999. Cook co-founded Invetech in 1987 and has held senior positions with Nicholas Kiwi Group (now Sara Lee).

"He's an excellent match for what we need going forward," said Grant. "He's got a strong management track record of building companies, ones which are profitable and which have strong alliances with much larger international companies.

"He's got a lot of experience in management of research and development, and he started his career in that area himself. He's got the maturity as a senior business executive to be able to handle the range of opportunities that we've got in front of us," said Grant.

Molloy advised Biota in late August that he would not be renewing his contract next year following the company's decision to consolidate its operations back into its Melbourne facility.

The company has been searching for a replacement for about two months, said Grant.

"We had some very good candidates," he said. "Biota is quite attractive, obviously the share price attracts the investors, but it's also quite attractive for experienced management. It's not a single shot research company like so many of our companies in Australia are, it's got a multiple pipeline. It's got product on the market and we've got others going into trial and a strong cash position."

Biota's share price has risen from below AUD$0.50 in June to above $2.50 in October following news that countries such as the USA, France, Hong Kong, and Germany are stockpiling Relenza, the anti-flu drug developed by Biota and commercialised by GlaxoSmithKline, in the event of an influenza epidemic.

Biota is currently suing GSK for up to $430 million, alleging that the pharmaceutical company failed to promote and support Relenza in the five years since it was launched. Biota earns a 7 per cent royalty on sales of Relenza.

The company also recently raised $31 million from a share purchase plan and will use the capital to move the company's preclinical influenza, common cold and infant bronchiolitis programs into human clinical trials.

Cook has been living in Perth for the past five years and will be based in Biota's new corporate office at Notting Hill in Melbourne. He is originally from Melbourne and completed his Bachelor and Master of Pharmacy degrees and an MBA there.

Biota's shares were trading at $1.725 at the time up writing, up $0.055 from when trading opened this morning and after reaching a high of $1.775 earlier today.