Inflammatory Disease Focused Aclaris Therapeutics Reduces Staff After Failed Psoriatic Arthritis Study
Portfolio Pulse from Vandana Singh
Aclaris Therapeutics Inc (NASDAQ:ACRS) reported Phase 2a trial results of ATI-1777 for atopic dermatitis, showing improvement with minimal systemic exposure. The company is advancing ATI-1777 into a Phase 2b trial, with results expected in January 2024. Aclaris is also redirecting its focus to zunsemetinib for potential cancer treatments and reassessing ATI-2138's pathway due to competition in ulcerative colitis. A workforce reduction of 46% is planned to preserve capital following the discontinuation of ATI-450 for immuno-inflammatory diseases. ACRS stock dropped 16.70% to $0.85.
December 20, 2023 | 3:48 pm
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Aclaris Therapeutics reported positive Phase 2a trial results for ATI-1777, is advancing to Phase 2b trials, and is exploring cancer treatments with zunsemetinib. The company is reducing its workforce by 46% to preserve capital after discontinuing ATI-450 development. ACRS stock fell 16.70%.
The positive trial results for ATI-1777 may provide some optimism for investors, but the significant workforce reduction and the discontinuation of ATI-450 for immuno-inflammatory diseases are likely to overshadow this news. The immediate impact on the stock price was negative, with a substantial drop of 16.70%, indicating investor concern over the company's future prospects and cost-saving measures. The short-term impact is likely negative due to these cost-cutting measures and strategic shifts, which may raise concerns about the company's financial stability and pipeline viability.
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RELEVANCE 100