Vivus Names Seth Fischer CEO, As Anthony Zook Resigns Due To Ill Health

(RTTNews) - Vivus, Inc. (VVUS), the maker of Obesity drug Qsymia, on Tuesday announced that its Board of Directors has appointed Seth Fischer, a former senior executive at Johnson & Johnson (JNJ), as its Chief Executive Officer, effective today. Fischer will also join the Vivus Board.

Fischer replaces Anthony Zook, who has resigned from the CEO post and from the Board today due to recurring issues associated with a previously-diagnosed medical condition.

In pre-market activity, Vivus shares are currently trading at $12.34, down $0.19 or 1.52 percent.

According to the biopharmaceutical company, Zook determined that he must focus attention on a resolution of his health condition after consultations with his physician. He will work with Fischer through mid-September 2013 to assist with the transition.

Zook said, "I believe strongly in the potential of Qsymia, the VIVUS organization and the future direction of the company. This has been a difficult decision. Unfortunately, I cannot devote the necessary time and focus to the company, but instead must concentrate on personal health issues."

It was on July 22 that the company appointed Zook to serve as its new chief executive officer, replacing Leland Wilson, following a settlement reached with its largest shareholder First Manhattan Co. or FMC, regarding their proxy contest related to the company's 2013 annual meeting of stockholders. Zook is a former AstraZeneca Plc (AZN) executive.

Commenting on the latest appointment, Michael Astrue, chairman of Vivus, said, "We are pleased to welcome Seth Fischer to VIVUS and look forward to his leadership as we continue to execute on our four goals: 1) expand use of Qsymia through targeted patient and physician education; 2) find the right partner for Qsymia; 3) quickly create a pathway for approval in Europe; and 4) eliminate expenses that are not essential to expanding use of Qsymia."

Fischer holds three decades of healthcare experience in the pharmaceutical and medical device industry. Until his retirement in 2012, he served in responsible positions with Johnson & Johnson. Most recently, Fischer served as Company Group Chairman Johnson & Johnson and Worldwide Franchise Chairman, Cordis Corporation from 2008 to 2012. He was Company Group Chairman, North America Pharmaceuticals from 2004 to 2007, which included responsibilities for Ortho-McNeil Pharmaceuticals, Janssen and Scios.

He is currently a member of the Board of Directors of Trius Therapeutics, Inc. and BioSig Technologies, Inc, and an advisor to MedHab, LLC.

Fischer noted that Qsymia offers a new solution for patients and their healthcare providers in addressing the devastating condition of obesity, which has reached epidemic proportions in America and other parts of the world.

In early August, Vivus reported a wider loss in its second quarter as revenues from its only commercial drug Qsymia fell short of estimates. The results were also impacted by charges and increased marketing costs on the drug.

Qsymia was approved by the U.S. Food and Drug Administration in mid-July 2012. It became only the second obesity drug to be approved by the FDA in thirteen years, and the first ever once daily combination treatment.