Restructuring

As CEO Anderson backs high prices for innovative drugs in Europe

Restructuring Edition: Unity unveiled more Phase IIb data for lead asset UBX1325 along with plans to shed its workforce while seeking a partner for it and other drugs. Also, Ono is consolidating US employees at one site, Entrada is cutting its workforce by 20% and other recent strategic shifts.

Paul Stoffels, the J&J research veteran who helmed Galapagos during a crucial period, will retire upon the appointment of a new CEO as the company continues its latest transformation.

As investors have begun to ask troubled drug developers to suspend operations and return remaining cash to shareholders, Alis has stepped forward with a new fund aiming to facilitate that.

Restructuring Edition: ESSA and Elevation are reviewing strategic alternatives after trial failures, but each has an investor urging them to liquidate. Also, Third Harmonic and Vincerx are winding down, while Keros and Tempest are assessing options, but Opthea and OPM are cutting jobs.

Public Company Edition: Stock valuations are falling due to political, economic and regulatory uncertainty, resulting in fewer large public offerings, more alternative financings and cost cuts. Carisma, Tenaya, BioAtla, Arbutus, Nkarta, Alector and Adaptimmune announced layoffs.

Public Company Edition: Cargo suspended development and cut 90% of its workforce to focus on strategic alternatives, while Pyxis and Kiromic laid off or furloughed employees. Also, Pfizer sold its remaining Haleon shares for $3.3bn, Galderma sold $1bn in bonds and other financings.

Restructuring Edition: Biopharma companies used fourth-quarter updates to reveal job and program cuts to conserve cash, including Sutro, Agenus, Coherus, Inozyme and Atea. Also, Vincerx’s reverse merger was terminated and Vaccinex, Oncternal, Syros plan to voluntarily delist.

Pharma revenues are going to fall this year as a result of deeper generic competition for the German group’s top-selling drug, Xarelto, but it should return to growth from 2027 onwards.

Public Company Edition: BridgeBio Oncology Therapeutics will merger with a SPAC and raise $450m. Also, BridgeBio Pharma priced $500m in notes and Solid grossed $200m in a follow-on offering, while Idorsia restructured debt and a deal after a planned transaction fizzled out.

Norwegian firm BerGenBio, Lava of the Netherlands and Poland’s Ryvu are all weighing up diverse options to maximize shareholder value and stay alive, including licensing agreements and mergers.

Most biopharma firms that went public in the US in 2024 had a strong start, but by year-end many were trading in negative territory and in 2025 most are below their IPO values, raising questions about IPO prospects in 2025.