By Svea Herbst-Bayliss

BOSTON (Reuters). Richard Kayne, a billionaire investor and biotech firm founder, is running for two seats on Athira Pharma’s board. He believes the company requires a new chief operating officer in order to lead its efforts in developing treatments for Alzheimer’s disease.

Kayne Anderson Capital Advisors was a private equity investor. He told Athira shareholders that he proposed George Bickerstaff (an ex-chief financial officer at Novartis Pharma AG) to the company’s eight person board. This letter, which was seen by Reuters, was sent out to shareholders Wednesday.

The company was informed by him about his plans. An employee of the company didn’t immediately reply to my request for comment.

Kayne said, “Simply put Dr. Litton does not make the right choice to be Athira’s chief executive officer.” He also noted that Litton lacks any operational, clinical trial, or scientific experience, and that he has spent his entire career working in business development.

Leen Kawas’s successor, Mark Litton was made CEO by Mark Litton last year. Kawas managed the development and public listing of ATH-1017 in 2020, an agent to restore brain tissue.

Kayne owns 4.8% shares of Athira’s stock. He claims that the stock has plunged 26% in the six months since Litton assumed day-today operations. Investors generally doubt Litton’s credibility or ability to share the company’s stories.

Athira is also criticized by Kayne, who claims the board had no relevant expertise up until recently after new biotech experts were appointed to it. Kayne stated that Athira offered him a spot on its board, however, he noted that it was swiftly withdrawn without explanation.

“Adding me and George Bickerstaff will help the Board restore credibility and refocus on what really matters: attracting the best management team and giving ATH‑1017 the best chance of success,” he wrote.