BioMarin Lays Off 4% Of Its Workforce To 'Simplify' The Company

BioMarin Pharmaceutical Inc BMRN will redesign the organization to better focus investments that advance its R&D pipeline, maximize recent commercial launch success, prepare for a potential launch of Roctavian (valoctocogene roxaparvovec) in the U.S., and drive core infrastructure optimization.
Biomarin is laying off about 120 employees (or roughly four percent of the global workforce) in a slim down that will save about $50 million annually beginning 2023.
Related: BioMarin Says One Participant Diagnosed With Leukemia In Late-Stage Hemophilia Gene Therapy Trial.
The company adds that a "significant portion" of the savings will go toward its clinical development portfolio, early-stage pipeline, and Roctavian and Voxzogo launches.
In its latest quarterly results, BioMarin has upped its FY22 Voxzogo sales forecast to $130-$160 million, from $100 - $125 million expected earlier.
Most of the reduction will come from BioMarin's U.S. operations. The company will incur estimated pre-tax charges of approximately $20 - $25 million, representing one-time cash expenditures for severance and employee termination benefits.
Price Action: BMRN shares traded lower by 2.59% at 89.11 on the last check Friday.