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Tranzyme's CFO resigns

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Richard Eisenstadt, Tranzyme Pharma's chief financial officer, is resigning effective Jan. 4 to pursue a new career opportunity, the Durham company announced Wednesday.

"On behalf of the entire team at Tranzyme Pharma, I would like to thank Rich for his many years of hard work and dedication at the company during his tenure as CFO," CEO Vipin K. Garg said in a statement. "Since joining Tranzyme in 2003, Rich has been a valuable member of our executive team. We wish him the best in his future endeavor."

Tranzyme's controller, Rhonda L. Stanley, will take over Eisenstadt's CFO duties after he departs.

His departure comes nearly three weeks after Tranzyme reported discouraging test results for an experimental drug. The announcement caused the company's stock to plummet 76 percent in a single day.

Preliminary results from a Phase 2B trial of TZP-102 found that the drug performed no better than a placebo. The drug is being developed to treat debilitating gastrointestinal problems triggered by diabetes and other diseases.

Garg told analysts after the announcement that the company is not giving up on the drug despite the disappointing results.

In March Tranzyme halted development of a drug designed to restart the body's digestive functions after bowel surgery in the wake of disappointing Phase 3 results. That drug was the company's most advanced drug candidate at the time and its shares plunged 43 percent when those results were announced.

Tranzyme shares closed Wednesday at 68 cents, down 4 cents. The company's shares have fallen 77 percent this year.

Tranzyme went public in April 2011 at $4 a share, raising nearly $50 million from investors in the process.

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About the blogger

Business reporter David Bracken came to the N&O in 2004. He covers commercial and residential real estate. Contact David at 919-829-4548 or e-mail him.