All other assets under development are under strategic evaluation, states the company.

The planned restructuring remains subject to negotiation with the relevant trade unions and may result in a reduction of approximately 70% of the current workforce, mainly affecting the discovery and non-clinical operations. Once implemented, the restructuring is expected to reduce operational costs by at least SEK 65 million annually.

The planned restructuring remains subject to negotiation with the relevant trade unions and may result in a reduction of approximately 70% of the current workforce, mainly affecting the discovery and non-clinical operations.

Going forward Alligator will focus on late-stage development with an adequate workforce of approximately 15 FTEs. Furthermore, Alligator will continue to be able to conduct limited research activities, primarily related to mitazalimab, through internal and external resources.

Plans for a Rights issue

Alligator has separately announced the plans for a Rights issue to be completed in Q1 2025. If the Rights issue is fully subscribed, Alligator will have secured financing up until the end of 2025.

Alligator is continuing to prepare mitazalimab for Phase 3 development, in parallel with ongoing partnership discussions. It expects to report 24 months follow-up data from the mitazalimab OPTIMIZE-1 Phase 2 trial in Q1 2025. The 24-month timepoint is longer than many other treatments in metastatic pancreatic cancer have shown, as most trials have been stopped earlier as the clinical efficacy was no longer evident and patients had relapsed or died.

In order to focus our current resources on mitazalimab, our most important asset, we have no other option than to reduce our earlier stage research and development activities and workforce.

“The cost savings announced today will strengthen our ability to continue developing mitazalimab and enhance the chances to unlock its value by making it more attractive for partnership,” says Søren Bregenholt, CEO of Alligator Bioscience. “In order to focus our current resources on mitazalimab, our most important asset, we have no other option than to reduce our earlier stage research and development activities and workforce. We thank our colleagues, who have strived professionally and with great dedication to innovate and deliver on Alligator’s mission to develop drugs for patients with hard-to-treat cancers since the Company’s inception. We will make the utmost efforts to support the highly talented people affected by this initiative. I am confident they will prove to be important contributors to other innovative organizations.”

Alligator will notify the Swedish Public Employment Service (Sw. Arbetsförmedlingen) and seek consultations with trade unions regarding the reorganization. Decisions regarding specific employee reductions will take place after the change consultations have been concluded according to local regulations.