In that line of thought, Alliqua Inc. (ALQA.OB), which got some visibility at the Biotech Showcase Conference this January, recently brought in some interesting new talent for its executive team and Board: Dr. Jerome Zeldis, Celgene's (CELG) long-time Chief Medical Officer, was appointed Chairman of the Board in November; and David Johnson, former CEO of ConvaTec took over as President and CEO this month. Johnson grew ConvaTec to a leading wound-care company with over $1.6 billion in annual revenue, while Zeldis, as a senior executive at Celgene, was instrumental in building the company into a multibillion dollar enterprise. Meanwhile, James Sapirstein, CEO of Alliqua's Biomedical division, is known for his work at Gilead (GILD) and Bristol-Myers Squibb (BMY).
This kind of experience should go a long way towards creating value for ALQA shareholders, and it's hard to imagine that any of these executives joined this micro-cap and are spending time and resources if they don't see an opportunity to build it into a meaningful business. The company develops and markets hydrogels for use in wound-care but expects the technology to become useful as a drug delivery platform further down the road. Certainly, ALQA at its current valuation isn't attractive to management financially, and investors betting on this strong management team could be rewarded alongside executives and the Zeldis-led Board as the business becomes more valuable. Admittedly, it's early in the process, but this leadership team speaks volumes about what's happening at Alliqua, and investors might keep an eye on the business, with a current opportunity to get in at the ground floor. The Johnson-Zeldis-Sapirestein team is a great amalgamation (judging by their prior track record) for creating shareholder value from existing assets and anticipated business development.