- Shares of Assembly Biosciences ( NASDAQ: ASMB ) fell 7.4% after hours as the company said it would discontinue the development of its inhibitor vebicorvir for the treatment of hepatitis B virus and would reduce its workforce by about 30%.
- As a result of the discontinuation, ASMB's phase 2 trial called Study 203 evaluating a triple combination involving vebicorvir will be stopped immediately.
- ASMB said a separate phase 2 study called Study 204 will continue. This study is being conducted in collaboration with Arbutus Biopharma ( ABUS ) and is evaluating a combination involving vebicorvir and ABUS' investigational RNAi product.
- Assembly ( ASMB ) will now prioritize its research pipeline and focus on advancing development programs for its inhibitors ABI-H3733 and ABI-4334, which have higher potency than vebicorvir in preclinical studies.
- ASMB will cut its workforce to approximately 70-full time employees.
- The company also announced a host of management changes: current CFO Michael Samar and chief medical officer Luisa Stamm will leave; current chief operating officer Jason Okazaki will oversee finance; CEO John McHutchison will continue in that role.
- ASMB expects these restructuring and reorganizational actions to extend its estimated cash runway into H1 2024.
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Assembly Biosciences to discontinue development of inhibitor vebicorvir, cut workforce