MannKind Retracts CEO Job Offer

MannKind Corp. has retracted its offer to employ Duane M. DeSisto as the Valencia biotech’s new chief executive, the company announced Monday. The decision was made because of objections from DeSisto’s former employer Insulet Corp., a medical device company in Bedford, Mass. that makes tubeless insulin pumps. Insulet claims that employment of DeSisto by MannKind would violate Insulet’s prior non-compete agreement with DeSisto, which is effective until Sept. 17. MannKind produces an inhalable insulin called Afrezza, which is the company’s only commercial product. With DeSisto out of the running, MannKind’s board has appointed Chief Financial Officer Matthew J. Pfeffer as the company’s new chief executive, which went into effect Sunday. Pfeffer replaced interim chief executive Alfred Mann; he also will continue his role as chief financial officer. Pfeffer was appointed to the board of directors, effective Sunday. “Matt has been a valuable member of the executive management of MannKind for many years and has been instrumental in managing our transition to a commercial stage operation,” Lead Director Kent Kresa said in a statement. Since MannKind announced the end of its marketing and distribution agreement for Afrezza with Sanofi-Aventis US LLC on Jan. 5, its shares have lost more than half their value. Shares closed Monday up 1 cent or 1.1 percent to 67 cents on the Nasdaq.