Business
Aligos Therapeutics Announces Strategic Reprioritization of NASH and COVID-19 Programs and Confirms Key Timelines and Extension of Cash Runway to Year-End 2024
– Pipeline reprioritization emphasizes NASH and COVID-19 assets, ALG-055009 and ALG-097558, plus key ongoing collaborations, including the Merck & Co. (MSD)
About this update from Aligos Therapeutics, Inc.
[{"type":"text","content":"– Pipeline reprioritization emphasizes NASH and COVID-19 assets, ALG-055009 and ALG-097558, plus key ongoing collaborations, including the Merck & Co. (MSD) programs in NASH –– Overall workforce reduction (attrition and reduction in force) of approximately 25% since beginning of January 2022 – SOUTH SAN FRANCISCO, Calif., Feb. 08, 2023 (GLOBE NEWSWIRE) -- Aligos Therapeutics, Inc. (Nasdaq: ALGS), a clinical stage biopharmaceutical company focused on developing novel therapeutics to address unmet medical needs in NASH and viral diseases, today announced a portfolio reprioritization. Aligos’ highest priorities will be focused on rapid advancement of its clinical NASH (ALG-055009) and COVID-19 (ALG-097558) programs as well as maintaining its ongoing NASH oligonucleotide research collaborations with Merck & Co. (MSD outside the U.S. and Canada). Additionally, the Company plans to complete the ≤48-week (ALG-000184) and single ascending dose (ALG-125755) cohorts for its two chronic hepatitis B programs and continue to invest in selected research programs and collaborations with external research organizations. This portfolio reprioritization is being accompanied by a reduction of the Company’s current workforce of approximately 10% and, combined with careful workforce management, including employee attrition and targeted hiring, has resulted in an overall workforce reduction of approximately 25% since the beginning of January 2022. As a result of the portfolio reprioritization, realignment of its workforce, and other cost-saving measures, the Company expects to maintain a strong balance sheet and extend its projected cash runway to the end of 2024. The Company expects to report Q4 and 2022 year-end financial results as well as provide guidance regarding the amount of anticipated one-time charges related to the reprioritization, which we expect to record in Q1 2023, in mid-March 2023. “With such a diverse clinical portfolio, including four drug candidates in or near the clinic, as well as maintaining a strong discovery engine, where we continue to support multiple research collaborations, we determined that Aligos would be best positioned to achieve its business objectives by taking action now to streamline operations, reprioritize its portfolio, and implement certain cost-saving measures, including a reduction in force,” said Lawrence...