Dive Brief:
- Integra Lifesciences CEO Jan De Witte will retire after the company names a successor, which is expected by the end of 2024.
- Stuart Essig, Integra’s current chairman and a former CEO at the company, was named executive chairman on Wednesday and tasked with leading the transition.
- The Princeton, New Jersey-based company makes surgical instruments and tissue regeneration technologies. Integra is working to reopen a plant in Boston that was the subject of a warning letter in July.
Dive Insight:
De Witte joined Integra in December 2021. The CEO told investors on Wednesday the decision to retire was personal, driven by family requirements.
“Jan’s personal decision to retire from Integra and return to Europe follows a leadership tenure marked by significant contributions to the company, including the evolution of our strategy and an expansion of core capabilities,” Essig said in a statement. “We appreciate Jan’s commitment to a smooth transition and the execution of our roadmap for 2024 and beyond.”
Problems with Integra’s Boston plant led the company to issue a recall last year of all products manufactured at the site over the past five years. Integra paused production at the facility in 2022 and is working to bring it back up this year.
De Witte told investors that Integra restarted the Boston factory in November, completed an external review in January, and is preparing for an external audit in March. If that goes well, the company could resume distribution in the second quarter.
The closed facility has weighed on Integra’s financial results, with 2023 revenues down about 1% year over year to $1.54 billion, and net income down 63% to $67.7 million.
De Witte said the Boston recall affected the company’s revenues by about $67 million.
Integra also announced layoffs in Indiana as it plans to close a manufacturing facility there.
The company’s board has started a search for a new CEO and is working with executive search firm Heidrick & Struggles to find candidates.