Investing.com -- Apellis Pharmaceuticals (NASDAQ:APLS) has announced that it will slash headcount by about 25% in a bid to rein in costs and focus on strengthening its Syfovre and Empaveli businesses.
In a statement on Tuesday, the Massachusetts-based drugmaker said it would cut approximately 225 jobs.
Apellis added that it expects the lay-offs to be completed by the third quarter of this year and result in total savings of up to $300 million through 2024. The figure includes more than $70M in net cost reductions from the workforce decrease and $230M from the elimination of planned external expenses.
The company noted that it will incur a projected one-time cost of between $9M to $11M related to the job cuts, most of which will be cash expenditures. The costs are anticipated to be realized primarily in the second half of 2023, Apellis flagged.
Meanwhile, the firm said it is aiming to support the ongoing U.S. commercial rollout and potential international launch of Syfovre, a prescription eye injection used to treat geographic atrophy, the dry advanced form of age-related macular degeneration. Its Empaveli medicine for adults with a rare blood disorder will also be streamlined.