ADC Therapeutics is cutting about 17% of staff as it focuses resources behind Zynlonta after safety concerns surfaced in a confirmatory study, the company said in a June 24 release. The Swiss ADC developer expects ~$10 million in annual savings and a one-time ~$3 million charge tied to severance and termination costs. The restructuring is explicitly tied to operational timing: ADC said it expects completion of the LOTIS-5 and LOTIS-7 trials this year. LOTIS-5 is the confirmatory phase intended to convert Zynlonta’s accelerated nod in relapsed or refractory diffuse large B-cell lymphoma (DLBCL) into full approval, while LOTIS-7 is an early-stage study exploring Zynlonta in combination with Roche’s bispecific Columvi (glofitamab) in DLBCL. ADC also said it is preparing for an August meeting with the FDA to discuss a path forward following the LOTIS-5 results, while keeping its externally facing medical affairs and commercial footprint intact. The company estimates the plan will extend its cash runway to at least 2028.
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