Invitae divests Ciitizen platform, implements further cost cuts

Invitae announced strategic changes to streamline operations and reduce operating cash burn. The company has divested the assets of Ciitizen and announced strategic cost cuts, which will include a workforce reduction and other operating expense reductions. Ciitizen is a consumer health tech platform that helps patients collect, organize, store and share their medical records digitally. With the divestiture, the Ciitizen assets have been transferred to a new entity established by the leadership team of the Ciitizen business and funded by a group of venture capital investors. Invitae maintains a minority equity interest in this newly formed company. Invitae continues to operate its core genetics data business, including sponsored testing programs, biopharma research services and rare disease discovery. The company also implemented efforts to significantly reduce its operating expenses via a workforce reduction and other cost saving initiatives, which include streamlining processes across its core platforms and optimizing its technology, professional services and other spending. These initiatives are anticipated to result in annualized cash savings of approximately $90M-$100M, excluding one-time severance related payments.