CEO, directors depart as Bio21 changes direction

The chief executive officer and three other directors have resigned from Bio21 following a restructure that has seen the company abandon its commercial focus.

In a statement, the company said Bio21 Australia would now focus instead on fostering the development of collaborative activities and adding value to its research and development core.

The restructure follows months of indecision as to the direction of Bio21, launched by the Victorian government in June 2000 with the aim of making the state an international centre for health research.

Retiring CEO Dr Roland Poels, brought to the company in late June last year after a worldwide search, said the decision meant there was no longer a need for external commercially-based directors on the board.

Poels said he was not disappointed by the restructure, but pleased that the initiative could now move forward.

"With this new structure there's a lot more clarity about the objectives and work will now be able to be done because there are a number of projects that need to move forward," Poels said.

"This is a lot more clear, transparent and candid and I believe this is a good outcome for everyone.

"The whole idea, the whole concept of moving biotech forward and the whole idea of Bio21 has moved slower over the past two years than it could have been."

Also resigning their posts were chairman Dr Roland Williams, and non-executive directors Simon McKeon and Chris Eves.

Melbourne Health chairman Prof David Karpin has accepted the role of interim chairman of Bio21.

In deciding on the restructure, the company's founding parties - the University of Melbourne, Walter and Eliza Hall Institute and Melbourne Health - also announced they would open membership to Bio21 to more groups in order to broaden the collaborative scope.

Poels said he would remain at the University of Melbourne as a special adviser in biotechnology and honorary fellow.

He said that with a professional background that included 16 years' commercial experience with such companies as Bristol Myers Squibb and Rhone Poulenc Rorer, there was no longer a role for him in a company that had chosen to externalise any commercial activities.

In a statement, Innovation Minister John Brumby said he was pleased to hear that the board of Bio21 had restructured and refocused its business.

The restructure comes as construction begins on the $100 million Bio21 Institute of Molecular Science and Biotechnology building at the Western Precinct in Parkville.

Construction of the applied biotechnology research facility - which abuts Flemington Rd, University High School and the Royal Melbourne Hospital - was pegged to commence in October last year.

When finished in early 2004, the institute will offer 23,000 square metres of floor space, with an existing building on the site to be refurbished as an incubator for start-up biotech companies.

Bio21 is being funded by the University of Melbourne ($50 million), the Walter and Eliza Hall Institute of Medical Research ($4 million), the State government ($50 million), private investors and developers ($262 million) and philanthropic donations ($34 million).