Rare Disease Focused-Synlogic Pulls Plug On Lead Program, Shares Nosedive
Portfolio Pulse from Vandana Singh
Synlogic Inc (NASDAQ:SYBX) announced the discontinuation of its Synpheny-3 study for PKU treatment due to unlikely achievement of its primary endpoint, not related to safety concerns. The company plans to evaluate strategic options, including mergers or asset sales, and will reduce its workforce by over 90%. The company's cash balance as of December 31, 2023, was $47.7 million. Shares plummeted 51.31% to $1.67.
February 09, 2024 | 3:53 pm
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Synlogic discontinues its pivotal PKU treatment study, plans to explore strategic options, and will cut its workforce by over 90%. Shares fell sharply by 51.31%.
The discontinuation of Synlogic's lead program due to its unlikely success in meeting the primary endpoint, combined with the announcement of a significant workforce reduction and the exploration of strategic options, has led to a sharp decline in investor confidence. This is reflected in the stock's significant price drop. The company's future is uncertain, impacting short-term stock performance negatively.
CONFIDENCE 90
IMPORTANCE 100
RELEVANCE 100