Cyclerion Shares Fall After Reprioritized Pipeline, Workforce Reduction

Cyclerion Therapeutics Inc CYCN is reprioritizing development programs and focusing resources and capabilities on candidates for mitochondrial diseases.
The company has been exploring the pharmacology of sGC stimulation with once-daily CY6463 in signal-seeking studies in three patient populations.
From now on, Cyclerion will focus future development of CY6463 concentrating first on the development of Mitochondrial Encephalomyopathy, Lactic Acidosis, and Stroke-like episodes (MELAS).
"We look forward to discussions with regulators later this year and sharing more detailed development plans early in the new year," said Peter Hecht, Cyclerion CEO.
Also Read: Why Cyclerion Therapeutics Stock Is Getting Hammered
The company is preparing to meet with the FDA to discuss the CY6463 development program.
Cyclerion is also developing CY6463 in Cognitive Impairment Associated with Schizophrenia (CIAS) and Alzheimer's Disease with Vascular Pathology (ADv) patients.
Cyclerion says CY3018 is well-suited for treating CIAS and other neuropsychiatric indications. Cyclerion is completing pre-IND activities for CY3018 and is looking to secure a partnership or other funding mechanism to develop the program in the future.
The company capped enrollment in its ongoing ADv clinical study. Data from the ADv study are expected in the first half of 2023.
The company reduced its workforce by approximately 45% to 16 full-time employees and will take a one-time charge of $1.9 million and realize annual savings of around $4.1 million.
Price Action: CYCN shares are down 42.58% at $0.5399 on the last check Thursday.

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