Pharmaceutical company AMAG announces company restructuring, layoffs of 30%

US pharmaceutical company AMAG Pharmaceuticals announced the company's reorganization plan in the first quarter financial report, involving the planned divestiture of Intrarosa (prasterone) and Vyleesi (bremelanotide injection) products, as well as 30% job cuts, about 140 people.

The report shows that in the first quarter, AMAG's revenue was US $ 68.7 million, of which US $ 44.4 million came from the anemia drug Feraheme in kidney patients, and US $ 21.8 million came from Makena hydroxyprogesterone injection. The company's operating loss for the quarter was US $ 19.6 million, and adjusted EBITDA (profit before tax, interest, depreciation, and amortization) was US $ 5.5 million. Total costs and expenses for the quarter were $ 88.2 million, a decrease of $ 105.3 million compared to the same period last year. As of March 31, 2020, the company reported total cash and investments of $ 124.7 million and long-term debt of $ 320 million.

AMAG said that due to the popularity of the new crown, registration of the AMAG-423 Phase IIb / IIIa clinical trial that needs to be performed in the hospital has been suspended and the start of the new research center has been suspended. But AMAG cooperated with the FDA to initiate a phase IIb clinical trial of ciraparantag in healthy volunteers.

Scott Myers, President and CEO of AMAG, said: "We will prioritize and focus on maximizing the value of Feraheme, striving for the availability of Makena for patients and continuing to efficiently develop innovative therapies ciraparanta. It is difficult to estimate the COVID-19 pandemic Although the severity and duration have seen signs of stabilization, it is impossible to speculate about the speed at which normalcy is restored and the overall impact of the outbreak on our business. "