(Recasts; adds details)
Sept 17 Memory Pharmaceuticals Corp MEMY.O
said it will reduce its workforce by about 55 percent to cut
costs and said Chief Financial Officer James Sulat will be
replaced by Michael Smith.
The company, which did not give a specific reason for
Sulat's replacement, said about half the job cuts are effective
immediately, while the remainder will be eliminated over the
next six months.
The biopharmaceutical company also said it was expanding
its mid-stage development program of MEM 3454 in cognitive
impairment associated with schizophrenia (CIAS) with Roche AG
The company said it agreed to expand the study to allow the
target number of patients enrolled in the trial to increase up
It added that Roche will accelerate a portion of the $17
million payment related to the completion of the mid-stage CIAS
trial. The remaining $8.5 million payment will be due 30 days
after availability of top-line data, which is expected in the
second quarter of 2009.
Memory Pharmaceuticals has said it is studying MEM 3454,
its experimental drug candidate, for Alzheimer's disease.
Shares of Memory Pharmaceuticals closed down 3 cents at 26
cents Wednesday on Nasdaq.
(Reporting by Anuradha Ramanathan in Bangalore; Editing by