Halozyme Therapeutics To Cut 25% of Its Workforce (HALO)

Halozyme Therapeutics, Inc.

announced after the bell today that it would be cutting “approximately 25%” of its workforce as part of a focused development strategy. The company expects to incur a one-time charge in the fourth quarter related to the workforce reduction that will be mostly offset by reduced payroll expenses during the quarter. The implementation of this strategy is not expected to impact previous net cash burn guidance, and management reiterates its guidance of $40 to $45 million of net cash burn for 2010. "A decade's worth of investment in discovery and preclinical research from 2000 to 2010 has resulted in two FDA approved products, three late stage product candidates with Roche and Baxter, and three exciting proprietary programs with best-in-class or first-in-class potential," stated Jonathan Lim, M.D., president and CEO. He added, "This development focused strategy combined with our partners' achievement of their publicly stated launch timelines, could enable Halozyme to achieve cash flow breakeven by as early as 2013. I want to express my deepest appreciation to everyone for their hard work, passion, and commitment to help Halozyme reach this advanced stage of development." Halozyme Therapeutics, Inc. is a biopharmaceutical company. The company is engaged in the development and commercialization of products targeting the extracellular matrix for the endocrinology, oncology, dermatology and drug delivery markets.