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The boss of ICP Biotechnology has resigned just weeks after the listed biological products maker swapped its forecast profit for a loss.
Earl Stevens did not comment yesterday after resigning late on Friday as chief executive and managing director with immediate effect.
ICP, which makes the serum and media used by other biotechnology companies, backdoor-listed into Australasian Property Holdings Group last May.
Brent King, ICP director and chairman of 17.5 per cent shareholder Viking Capital, said Stevens had brought considerable vigour and entrepreneurial skill to the business.
"We respect him for what he has achieved to date and we accept his resignation understanding that perhaps another skill was appropriate for the next stage of the company's development," King said.
This month the company said the timing of sales after a scale-up of new production facilities and products had "slipped", with slower progress made in major markets.
ICP was unlikely to book significant new sales until the next financial year and the previously forecasted trading profit (earnings before interest, tax, depreciation and amortisation) for the year ending June 30 of $6.1 million was changed to an expected loss of about $8 million.
"It was a significant surprise to the directorate," King said.
ICP shares closed down 3 cents yesterday at 10 cents - a 23 per cent drop.
The company had if anything underestimated the time it took to get a product accepted by the market, King said.
However, ICP still fitted the bill for investment vehicle Viking Capital.
"Very much if not more than ever," he said. "The major thing for me is that I am very confident and very comfortable with the business in the medium-term and we do need to have a different focus for the next stage of the business."
Chairman Roger Gower would act as executive chairman while a search was conducted for Steven's replacement.
Stevens would stay on as a non-executive director.
