Some last minute gifts

Some last minute gifts

It was the day before Christmas and all through the house not a creator was stirring unless of course your part of the wacky world of diabetes. Yes, this wacky world or as we like to say sometimes the gift that keeps on giving just gave us a couple of last minute gifts. Yesterday MannKind (NASDAQ: MNKD) announced they have found a new CEO, a new captain for the Titanic, someone who actually has diabetes experience. According to a company issued press release;

MannKind Corporation (MNKD) today announced the appointment of Duane M. DeSisto as its President and Chief Executive Officer, effective January 5, 2016, replacing Alfred Mann who has served as interim CEO since November 19, 2015.  Mr. DeSisto was also appointed to fill an existing vacancy on the board of directors, effective January 5, 2016.”

Now if that name sounds familiar it should as Mr. DeSisto was previously CEO of Insulet (NASDAQ: PODD). Given this is the holiday season and not a time for any disparaging remarks let’s just say that DeSisto did not exactly leave Insulet on good terms. Simply put he got canned.

The ultimate irony here is that DeSisto takes over a company facing a series of major issues not the least of which being its survival as a going concern. He also takes over at a tenuous time as MannKind’s partner Sanofi (NYSE: SNY) appears to be getting ready to pull the plug on this partnership. Even if DeSisto can sweet talk Sanofi into remaining as a partner this is just the tip of the iceberg and won’t solve the many issues facing Afrezza.

The irony here is that it wasn’t until after he got canned by Insulet did we discover just how badly he managed Insulet. His predecessor at Insulet Pat Sullivan quickly discovered that previous management was less than forthright with the investment community. That things really weren’t as advertised by DeSisto and his team. To put it bluntly Pat inherited a major mess, a mess which he is still trying to clean up today.

Perhaps it’s poetic justice that DeSisto is taking over a company with as many, actually more problems, than the one he mismanaged before getting the boot. That it’s quite possible that the very day he takes the helm he will be hit with some very bad news, that Sanofi has decided to terminate the partnership.

The irony of irony here is that both MannKind and Insulet ae classic examples of something well known in diabetes; the surest way to make a small fortune is to start out with a big one.

Sticking with that point, and yes the pun was intentional, there is yet another company out raising money to develop … wait for it… a noninvasive continuous glucose monitor. According to several published reports GlucoVista, a medical device company with U.S. headquarters in Fairfield, New Jersey, has raised more than $2 million as it seeks to advance a noninvasive, continuous glucose monitoring tool. Its technology involves using a wearable and infrared light with a companion app.

Like so many others in this race the folks at GlucoVista are not new to noninvasive glucose monitoring. Like so many others they have tried and failed in the past only to reinvent themselves so they can scam more money from investors too stupid to do the least bit of due diligence.

Listen we know how this going to play out already. The company will go back to these and other dumb investors and say that with a few more million they can reach the promised land. That they are oh so close. This process will repeat itself until they run out of investors to scam. The company will shut down, never to be heard from again and these guys will reemerge with a new name, same old technology that doesn’t work and do it all over again.

As much as we wish we were joking you just can’t make this stuff up. As everyone knows Momma Kliff has been quoted frequently and one of her favorites is there is no cure for stupid. Another favorite which applies to these two items is; “Fool me once shame on you, fool me twice and you’re a full-fledged member of the wacky world.”

Merry Christmas Everyone.