Struggling OvaScience reorganizes, stock plunges; Chugai inks €130M deal; Ironwood, Allergan report new linaclotide CR2 data
• With its fertility game plan struggling, Waltham, MA-based OvaScience says it will chop out 30% of its staff to help reduce expenses and extend its cash runway. New CEO Harald Stock and COO Paul Chapman are out the door as well, signaling the kind of turmoil that investors hate. The company’s stock $OVAS plunged 29% this morning as founding CEO Michelle Dipp stepped back in to oversee the company as it reorganized and looked for a new CEO.
• Madrid-based PharmaMar (MCE: PHM) has inked a €130 deal with Chugai Pharmaceutical for its third marine-derived anticancer drug PM1183 (lurbinectedin) in Japan. PharmaMar gets an upfront payment of €30 million, along with double-digit tiered royalties, and will also be eligible for receiving payments in line with the progress of the development and sales milestones; potentially worth over €100 million.
• Ironwood $IRWD and Allergan $AGN reported that a new study of linaclotide colonic release-2 (CR2) formulation in adult patients with irritable bowel syndrome with constipation looked good enough to justify further clinical work on the program. Ironwood’s shares declined slightly at the market open.