AbbVie, Ipsen Terminate Partnerships With Exicure As Bankruptcy Concern Looms

Exicure Inc XCUR announced the termination of its collaboration agreements with AbbVie Inc ABBV and Ipsen BioPharm Limited IPSEY.
Through separate agreements with AbbVie and Ipsen, Exicure was collaboratively advancing specified discovery programs in hair loss disorders and rare neurodegenerative disorders, respectively.
As a result of this termination, Exicure can develop medicines targeting hair loss disorders, Angelman syndrome independently, and Huntington's disease – while Ipsen retains the right to re-enter into the collaboration with Exicure in Huntington's Disease and Angelman's Syndrome.
In 2019, AbbVie partnered with Exicure for $25 million upfront in a hair-loss drug development deal. Two years later, Ipsen had paid $20 million upfront, with milestones worth up to $1 billion, to partner on two neurological programs.
In September, Exicure announced restructuring plans and aligned resources to continue exploring strategic alternatives.
The company will cut its workforce by approximately 66%, expected to complete by Q4 of 2022.
It will also cease all R&D activities, including suspending all partnered programs.
In its Q3 earnings release, Exicure's management warned of substantial doubt regarding the company's ability to continue as a going concern within one year.
Price Action: XCUR shares closed at $0.73 on Tuesday.