Taysha Gene Therapies Lays Off 35% Of staff, Narrows R&D Focus

Taysha Gene Therapies Inc TSHA is the latest company to slim down by slashing 35% of its workforce and narrowing its R&D focus to extend its cash runway to the fourth quarter of 2023.

• Taysha is narrowing its focus to registration-directed gene therapy programs in giant axonal neuropathy (GAN) and Rett syndrome. 
• The company is minimizing its investment in its other ongoing clinical programs and pausing all additional R&D. 
• In 2021, the company spent $131.9 million on R&D activities.
• TSHA-101 is the main reason for the changes. Taysha presented clinical data on the candidate in Tay-Sachs disease and Sandhoff disease in January. 
• The company is stopping enrollment in Phase 1/2 due to its decision to bet its future on its GAN and Rett syndrome gene therapies. 
• Related: Taysha Gene Plans Protocol Amendment After Patient Death In Gene Therapy Trial.
• The company said initial clinical studies in CLN1 and SLC13A5 will limit patient enrollment to focus on a proof-of-concept.
• Pipeline prioritization initiatives, existing cash, and financing under the current debt facility are expected to extend the cash runway into Q4 of 2023.
• The runway now extends well beyond an anticipated regulatory update on the GAN program and the delivery of preliminary phase 1/2 data in Rett, both of which are due this year. 
• The company held cash and equivalents of $149.1 million at the end of 2021.
• Price Action: TSHA shares are up 1.63% at $6.25 during the market session on the last check Thursday.