The move is part of a strategic restructuring aimed at getting azenosertib to the market for patients with gynecological malignancies.
Zentalis Pharmaceuticals announced Tuesday it is cutting about 40% of its workforce in what it called a “strategic restructuring” as the biotech goes all in on bringing its lead candidate to the market.
According to Zentalis, the move aims to extend the company’s cash runway until late 2027, with the hope of getting beyond a Phase II data readout for azenosertib in ovarian, fallopian tube, and primary peritoneal cancer.
“Zentalis is sharply focused on our goal of bringing azenosertib to patients with gynecological malignancies,” CEO Julie Eastland said in a statement. “To support this goal, we have made the necessary decisions to efficiently organize our company and allocate our capital resources to extend cash runway beyond an anticipated azenosertib data readout that we believe has the potential to be registration-enabling.”
Along with the restructuring, Zentalis also reported Wednesday mid-trial data from azenosertib from the MAMMOTH and DENALI studies, showing a 5.5 month median duration of response and “no new safety signals.”
Zentalis launched in 2018 and pushed through a quick $165 million IPO in 2020, a mere three months after coming out of stealth.
It’s been a mixed bag for Zentalis of late. Last June, the FDA placed partial holds on a Phase I trial, the Phase II DENALI trial and Phase II TETON trial after two patients died from presumed sepsis in the DENALI trial. Those holds were lifted in September. Then, earlier this month, the company won FDA Fast Track Designation for azenosertib in platinum-resistant forms of ovarian, fallopian tube and peritoneal cancer.
Azenosertib is being assessed in no fewer than 10 ongoing trials as both a monotherapy and in combination studies.
