Finance Watch: Though Flush With Cash, Theseus Seeks Alternatives, Gets Two Quick Offers

With Shallow Funds, BrainStorm, Atreca, SQZ Make Deep Cuts

Restructuring Edition: OrbiMed/Foresite and Concentra responded quickly after Theseus implemented a 72% workforce reduction and began a search for strategic alternatives despite having $225.4m in cash. REGENXBIO, Novavax and Lyell also revealed job cuts despite large cash stockpiles.

Finance Watch Image
• Source: Shutterstock

It’s understandable when a company running on fumes takes action to make its dwindling finances last while fundraising conditions are difficult. But when a company with a long cash runway implements layoffs and evaluates strategic alternatives, observers may be confused. Perhaps that’s why two potential buyers reacted quickly after Theseus Pharmaceuticals, Inc. announced a 72% workforce reduction and said it is considering a wide range of options – including a sale of the company or its assets – despite having $225.4m in cash on its balance sheet.

Theseus revealed its plan to review strategic alternatives on 13 November and on 27 November said that it received interest...

Read the full article – start your free trial today!

Join thousands of industry professionals who rely on Scrip for daily insights

  • Start your 7-day free trial
  • Explore trusted news, analysis, and insights
  • Access comprehensive global coverage
  • Enjoy instant access – no credit card required

More from Strategy

UroGen Gets A First-Ever Bladder Cancer Approval Despite US FDA AdComm ‘No’ Vote

 
• By 

UroGen’s Zusduri was approved despite an advisory committee vote recommending against it in May. It is the first approved drug for a type of recurring bladder cancer.

UCB Follows Fellow European Pharmas With Major US Investment

 
• By 

The Belgian drugmaker is boosting its biologics capacity over the pond.

Lilly Looks For Muscle-Sparing Candidates In Pact With Juvena

 
• By 

Deal Snapshot: Including its internal efforts with bimagrumab, Lilly has been seeking a muscle-sparing therapy to complement GLP-1 obesity drugs, such as Zepbound.

Asia Deal Watch: Otsuka’s Taiho Licenses LSD1 Inhibitor Rights To Benz

Plus deals involving BioAge/JiKang, Sanyou/Medicovestor, AriBio/Acino, Intragrand/Transpire, Kaken/Twocells, Sumitomo/Novo Nordisk, NIBEC/Undisclosed, Formosa/Adalvo, Drug Farm/Amoytop, Lupin/SteinCares and Lupin/Honeywell.

More from Business

Finance Watch: Insmed Cashes In On Positive Data With $750m Offering

 
• By 

Public Company Edition: Insmed raised $750m after reporting positive Phase IIb data in PAH, Cogent accessed up to $400m in new debt, Kelun-Biotech netted $250m in a placement of shares and ADC revealed a $100m private placement. In strategic updates, Recursion cut 20% of its jobs.

Lilly Looks For Muscle-Sparing Candidates In Pact With Juvena

 
• By 

Deal Snapshot: Including its internal efforts with bimagrumab, Lilly has been seeking a muscle-sparing therapy to complement GLP-1 obesity drugs, such as Zepbound.

Asia Deal Watch: Otsuka’s Taiho Licenses LSD1 Inhibitor Rights To Benz

Plus deals involving BioAge/JiKang, Sanyou/Medicovestor, AriBio/Acino, Intragrand/Transpire, Kaken/Twocells, Sumitomo/Novo Nordisk, NIBEC/Undisclosed, Formosa/Adalvo, Drug Farm/Amoytop, Lupin/SteinCares and Lupin/Honeywell.