Depomed is cutting a fourth of its workforce as it slashes costs following an ill-fated late-stage study of its lead therapy, Gabapentin GR, the extended release version of a drug used against postherpetic neuralgia. Researchers announced last July that the trial had failed. There's no word of exact casualties, but the company had slightly more than 100 workers at the end of last year.Â
"This reduction was difficult because it affects so many of our loyal, talented and hardworking employees," said CEO Carl Pelzel. "However, it was necessary in order to conserve cash and align our workforce to our needs in light of the disappointing results of our Phase III study in postherpetic neuralgia. The reduction in force is in addition to other ongoing cost-cutting initiatives."
- see the release for more on the cuts