NEW YORK, Oct.9 - Valentis will lay off 45 staffers as it tries to continue developing its two lead drug products, the company said today.
The majority of the layoffs, which are targeted across the company and include executives, scientific staff, and adminstrative support, are effective immediately and will reduce the company's total staff to 20 people, said Joe Markey, senior director of finance at Valentis.
There are no plans for further layoffs, according to Markey.
Valentis said it plans to save about $7 million per year, which can help it develop its Del-1 gene medicine for peripheral arterial disease and ischemic heart disease and EpoSwitch, its lead GeneSwitch product for chronic anemia.
"We now have to focus down on [these] programs with the remaining people and dollars," said Markey.
Valentis reported $19.1 million in cash, cash equivalents, and investments as of June 30, 2002.
As part of the restructuring J. Tyler Martin, senior vice president of development, is out. Margaret Snowden, general counsel, will "transition out of [Valentis] over time" but will continue to lead the firm's patent-infringement litigation.
Valentis is based in Burlingame, Calif.