XenoPort replaces chief exec, refocuses strategy and will cut jobs

Biopharma company XenoPort (Nasdaq: XNPT) has replaced its chief executive at a moment when the company is refocusing its strategic efforts, causing shares to rise 12%.

Ronald Barrett has stepped down while chief operating officer Vincent Angotti will fill the chief executive role. XenoPort will no longer be developing experimental psoriasis therapy XP23829 alone and will seek a partner. The company will instead focus on its restless leg syndrome candidate Horizant (gabapentin enacarbil).

Dr Barrett will continue with XenoPort as an advisor, providing guidance on potential partnering activities and ensuring a smooth transition to the new leadership. This new restructuring will require “a reduction in workforce” and that the changes will result in annual cost savings of $6.7 million as well as reduced expenses following the discontinuation of late-stage development on XP23829.