Galera Therapeutics to Reduce Workforce by 70% to Extend Cash Runway
August 09 2023 - 4:23PM
Dow Jones News
By Denny Jacob
Galera Therapeutics will reduce its workforce by 70% as part of
a broader restructuring to extend its cash runway following a
decision by the Food and Drug Administration regarding its new drug
application for avasopasem manganese.
The clinical-stage biopharmaceutical company said the workforce
reduction comes after the FDA said trial data of avasopasem's
effectiveness and safety for reducing severe oral mucositis in
patients with head and neck cancer wasn't sufficiently persuasive.
The company intends to request a Type A meeting with the FDA to
discuss the rationale of the decision, and next steps to support a
new drug application resubmission for approval.
Other aspects of its restructuring includes a wind-down of
commercial readiness efforts. Galera said it will focus resources
to define the path forward for avasopasem and to progress the
ongoing clinical trials for rucosopasem. Rucosopasem is the
company's second product candidate in development to augment the
anti-cancer efficacy of stereotactic body radiation therapy for
patients with non-small cell lung cancer and locally advanced
pancreatic cancer.
Galera had 31 employees as of March 1, according to a regulatory
filing. The company estimated Wednesday that its balance of cash,
cash equivalents and marketable securities as of June 30 was $38.8
million.
Write to Denny Jacob at denny.jacob@wsj.com
(END) Dow Jones Newswires
August 09, 2023 17:08 ET (21:08 GMT)
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