aibioCytomX Therapeutics to cut about 40% of headcount, expects $5 million to $6 million in charges
Tickers CTMX
The restructuring focuses the company on CX-2051 and its research collaborations. CytomX expects the changes to extend its cash runway into the second quarter of 2026.
Key facts
- Company
- CytomX Therapeutics, Inc. (NASDAQ: CTMX)
- News type
- Distress
- Primary source
- CytomX Therapeutics, Inc. 8-K (2025-01-06)
CytomX Therapeutics, Inc. (Nasdaq: CTMX) announced on January 6, 2025, plans to restructure its business to streamline the organization and prioritize CX-2051 (EpCAM PROBODY ADC) and activities supporting its research collaborations. It will reduce its headcount by approximately 40%.
The company says the reduction will mainly affect staff in general and administrative functions and staff supporting non-partnered internal research programs. CytomX expects to substantially complete it in the first quarter of 2025.
CytomX expects the changes to extend its cash runway into the second quarter of 2026. It estimates aggregate restructuring charges of approximately $5 million to $6 million, which it expects to record substantially in the first quarter of 2025. The charges relate mainly to one-time severance payments and other employee-related costs. Estimated cash payments are about $5 million and are expected to begin in the first quarter of 2025.
The company says these figures rest on a number of assumptions and that actual results may differ materially. It may also incur additional costs it does not now contemplate.