Catalyst Pharmaceuticals Inc (NASDAQ:CPRX), a biopharmaceutical company focused on developing and commercializing innovative therapies for people with rare debilitating diseases, today announced that the company is reducing its workforce by approximately 30%. The reduction in workforce, which affects employees from Catalyst’s commercial team, is part of Catalyst’s ongoing efforts to conserve cash as it works to complete the requirements for an NDA submission of Firdapse® (amifampridine phosphate) for the treatment of Lambert-Eaton myasthenic syndrome (LEMS) and congenital myasthenic syndromes (CMS).
“I would like to express my sincere appreciation to those employees affected by this difficult but necessary action. This is a loss to our Catalyst family of talented and dedicated individuals who have worked with integrity and passion towards improving the lives of people living with rare diseases,” saidPatrick J. McEnany, Chairman and Chief Executive Officer. “The decision to reduce the Company’s workforce has been extremely difficult, but we believe that it is a necessary step to better align our resources and enable us to achieve our goal of bringing Firdapse to market for patients with LEMS and CMS.”
In addition to Catalyst’s continuing efforts with respect to the development of Firdapse for LEMS and related neuromuscular diseases, as well as the other programs in the product pipeline, Catalyst will continue to grow its expanded access program with participating physicians and eligible patients suffering with LEMS and CMS. Further, and while there can be no assurance, Catalyst continues to believe that its currently available resources will be sufficient to complete the development of and refile an NDA for Firdapse for LEMS and CMS.
Catalyst expects to complete the reduction in workforce immediately. (Original Source)
Shares of Catalyst Pharmaceutical closed yesterday at $0.60, up $0.03 or 5.22%. CPRX has a 1-year high of $5.80 and a 1-year low of $0.51. The stock’s 50-day moving average is $0.95 and its 200-day moving average is $1.77.
On the ratings front, Catalyst has been the subject of a number of recent research reports. In a report issued on April 26, Piper Jaffray analyst Charles Duncan downgraded CPRX to Hold, with a price target of $1, which implies an upside of 67.0% from current levels. Separately, on March 22, Roth Capital’s Scott Henry reiterated a Buy rating on the stock and has a price target of $3.25.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Charles Duncan and Scott Henry have a total average return of -12% and -2.5% respectively. Duncan has a success rate of 32.7% and is ranked #3739 out of 3833 analysts, while Henry has a success rate of 35.5% and is ranked #3291.
Catalyst Pharmaceuticals, Inc. is a biopharmaceutical company. It focuses on development and commercialization of prescription drugs targeting rare (orphan) neuromuscular and neurological diseases, including Lambert-Eaton Myasthenic Syndrome (LEMS), infantile spasms, and Tourette’s disorder. The company was founded by McEnany J. Patrick and Huckel E. Hubert in January 2002 and is headquartered in Coral Gables, FL.