Irvine-based dental laser maker Biolase Technology Inc. on Thursday named the company’s chairman and largest shareholder as its permanent chief executive, making him the company’s fourth leader in the past three years.
Biolase’s board named Federico Pignatelli as chief executive. He had served as interim chief since August, when former boss David Mulder stepped down.
Mulder had served as chief executive since early 2009 after replacing Jake St. Philip, who came aboard in early 2008.
Pignatelli also is Biolase’s chairman and largest shareholder at about 5%. He’s taken a token annual salary of $1.
Biolase, which makes lasers used in various dental procedures, said earlier this week it expects to be profitable after a restructuring and landing a big order.
The company recently cut 20 jobs as part of a restructuring.
Biolase, which has annual revenue of just more than $40 million, said the restructuring reduces the amount of sales it needs to break even by about 30% to $32 million on an earnings before items basis.
Pignatelli said that it now “becomes highly likely” that Biolase will be profitable in the fourth quarter and beyond.
Biolase also said it received a $9 million order for dental lasers from Henry Schein Inc., its Melville, N.Y.-based distributor that will be completed next June.
The company said it amended its exclusive distribution deal with Henry Schein in North America and would now be allowed to sign supply deals with other companies.
Biolase has had a sometimes tough relationship with Henry Schein. In 2006, Henry Schein signed a multiyear deal with Biolase to be the company’s exclusive North American distributor of its dental lasers.
Soon after, some analysts said that Henry Schein sales representatives have been hesitant to promote Biolase’s Waterlase laser because dentists are unfamiliar with the product.
In late 2007, Biolase’s shares melted down after the resignation of former chief executive Jeffrey Jones and a widened quarterly loss.
The company counted a recent market value of $30 million.
