CureVac to cut 30% of workforce in strategic restructuring

CureVac (CVAV) announced a strategic restructuring to focus its resources on mRNA projects in oncology and other select areas of “substantial unmet medical need.” The restructuring includes a workforce reduction of approximately 30% “to create a leaner, more agile organization re-focused on technology innovation, research and development.” The restructuring initiative follows the recent new licensing agreement with GSK (GSK), valued at up to EUR 1.45B plus royalties. Under the new agreement, GSK assumes control of the development, manufacturing and global commercialization of COVID-19 and influenza programs, including combinations. The company expects to report data from the Phase 1 study of its cancer vaccine candidate CVGBM in glioblastoma in the second half of 2024. By the end of 2025, CureVac expects to have two clinical candidates for shared-antigen cancer vaccines in solid tumor and hematological cancers. The cost savings, combined with an upfront payment of EUR 400M and up to EUR 1.05B in milestones plus tiered royalties from the GSK agreement, will extend CureVac’s cash runway into 2028.