Restructuring
Activist investor and board chair Peter Tang takes on CEO role at Aurinia, while the COO, CMO and CFO also were replaced.
Public Company Edition: Biopharma stocks soared in recent months, but concerns about war in Iran and the latest US jobs numbers are hurting share prices across industries. Financial outcomes remain mixed for drug developers, with some financings and some restructurings.
Viatris will cut up to 10% of its global workforce – around 3,000 jobs – as part of a three-year restructuring plan targeting $650m in gross savings, with $250m set for reinvestment to boost growth and innovation, yielding roughly $400m in net savings by 2029.
Private Company Edition: Korsana Biosciences emerged from stealth mode with $25m in seed funding raised in 2024 and a $150m series A venture capital round that closed in September. Also, ILiAD Biotechnologies completed a $115m series B round, plus other recent VC financings.
Public Company Edition: Veradermics grossed $294.8m, while Eikon brought in $381m, AgomAb grossed $200m and SpyGlass raised $150m, bringing this year’s US IPO count to five. Also, Adlai Nortye grossed $140m in a PIPE, while other companies cut jobs and programs.
Restructuring Edition: Vistagen will implement cash preservation measures after intranasal fasedienol for social anxiety disorder failed in the Phase III PALISADE-3 trial, but PALISADE-4 is ongoing. Also, Geron and BiomX are cutting jobs and Valneva is consolidating in France.
The Japan-headquartered group is seeking a new partner for a Phase II-ready GPR52 agonist.
The Switzerland-based group’s alpha-synuclein-targeted immunotherapy shows promise in slowing progression of the degenerative brain condition.
Restructuring Edition: Nxera will cut its workforce by 15% in Japan and the UK, among other changes. Also, nearing the end of its cash, Applied Therapeutics cuts 46% of its employees, Korro will cut staffing by 34% as it shifts focus and Metagenomi revealed a 25% workforce reduction.
CEO Bill Anderson tells Scrip that the German group looks at potential in-licensing opportunities across every stage of the pipeline “but as you know, good value is a lot harder to come by in the late stage.”
CSL Limited said during its annual meeting that with US influenza vaccination rates down 12%-14%, it will delay the separation of its vaccine business Seqirus beyond the end of financial year 2026.
While there may be the beginnings of a turnaround in biopharma capital markets, gains in the cell and gene therapy space may lag the broader sector recovery, noted speakers at ARM’s Cell and Gene Meeting on the Mesa.