The biopharma Roivant Sciences (Nasdaq:ROIV) has decided to cut roughly 100 employees from its 891-person workforce.
According to CEO Matt Gline, the company decided on the reorganization to allow sufficient cash runway to last until the second half of 2025.
In the quarter that ended September 30, 2022, the company had a net loss of $315.9 million compared to a net loss of $225.6 million for the same period in 2021.
The company had $1.6 billion in consolidated cash, cash equivalents and restricted cash on September 30, 2022.
Endpoints News first reported on the layoffs.
The company also announced a $150 million primary and secondary offering to generate $100 million in gross primary proceeds.
Roivant is the parent company of a dozen smaller companies.
Roivant was the originator of Urovant, a urology-focused business that developed vibegron, an oral β3-adrenergic agonist for overactive bladder. Sumitomo Dainippon Pharma eventually agreed to take control of the company in 2020.
The company’s dermatology subsidiary Dermavant won FDA approval in May for the psoriasis drug Vtama.
Vtama has become the most widely prescribed branded topical for psoriasis.
Since Roivant Sciences launched the drug, physicians have written more than 54,000 prescriptions for the medication, which generated $5 million in net product revenue in the second quarter of 2022.
“We are really pleased with how this launch is going,” said CEO Matt Gline in a call with investors and financial analysts.
“We’re focused on becoming the mainstay of therapy and ultimately supplanting steroids” in treating psoriasis, Gline added.
The founder of Roivant, Vivek Ramaswamy, resigned his post as CEO to become executive chairman of its board in January 2021. The company’s former chief financial officer, Matt Gline, assumed the CEO role that same month.
The company has several clinical trials underway in inflammation and immunology, including for the TYK2/JAK1 inhibitor brepocitinib and batoclimab, a monoclonal antibody targeting the neonatal Fc receptor.
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