Valeant dermatology exec resigns, company cites 'personal reasons'
- Valeant on Thursday said the resignation of Deb Jorn, head of the dermatology and gastrointetestinal businesses, was unrelated to Valeant's internal investigation into its terminated relationship with the specialty pharmacy Philidor.
- The company announced Jorn's departure on Wednesday night but issued a second statement Thursday morning describing the nature of her resignation. Jorn's resignation is effective immediately.
- Earlier this week, reports of a new SEC investigation into Valeant's now-severed relationship with Philidor surfaced, leading to a sharp decline in its stock's value.
The turmoil continues at Valeant. In the four days since its CEO Michael Pearson returned from medical leave, the company has confirmed an SEC investigation, been attacked in a major presidential campaign ad, and seen the head of its dermatology business quit.
"It is our understanding that Deb Jorn decided to leave Valeant for personal reasons. Her departure is not the result of an action taken by the Ad Hoc Commitee of the Board of Directors," the company said in a statement.
Jorn ran Valeant's dermatology and gastrointestinal busineses, leading the launches of Jublia and Luzu. She will be replaced by Eric Abramson, the current VP of Dermatology, and by Ari Kellen, who will run the gastrointestinal unit.
On Sunday, Valeant withdrew its financial guidance for 2016 and delayed its planned update to its fourth quarter earnings. Concurrently, the ad hoc committee is continuing its investigation into the accounting practices surrounding Valeant's relationship with Philidor—something that the SEC is now probing as well.
The U.S. Attorney's Offices for Massachuseets and the Southern District of New York are also investigating the company.
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