Sage Therapeutics Cuts Workforce by 33% in Reorganization, Focuses on ZURZUVAE Launch and Pipeline
In This Article:
CAMBRIDGE, Mass. Sage Therapeutics (SAGE, Financials) announced a massive shakeup under its reorganization plan Thursday, led by a 33% reduction in its workforce, in supporting the launch of ZURZUVAE, its treatment for postpartum depression. Additionally, the reshuffling will enable the company to focus on advancing pipeline development before a key clinical readout for dalzanemdor, a drug candidate for Huntington's disease, that is slated to be released later this year.
The move, likely to offset over 165 employees, including 55% of its R&D staff, entails strengthening the company's balance sheet while extending its cash runway. The restructuring is set to be completed by Q4 2024.
Several executives will depart as part of the changes, including Anne Marie Cook, Kimi Iguchi, Matt Lasmanis, Heinrich Schlieker, and Amy Schacterle. Chris Benecchi will be looking to take up the reins as Chief Operating Officer, overseeing several departments, while Greg Shiferman and Vanessa Procter will assume expanded leadership roles.
Sage's reorganization positions the company for the company's long-term expansion while managing costs and improving efficiency during ZURZUVAE's market introduction phase.
This article first appeared on GuruFocus.