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Novavax axes about 1/3 of workforce; shares down 13% after hours

Published 11/09/2016, 04:48 PM
Novavax axes about 1/3 of workforce; shares down 13% after hours
NVAX
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  • On the heels of the failed Phase 3 Resolve study of its RSV F-Protein nanoparticle vaccine candidate, Novavax (NASDAQ:NVAX) cuts about 30% of its employees. It has also instituted cost-saving measures in R&D, administration, capex and pre-commercialization activities. Management says it expects to reduce cash burn by $70M - 100M next year compared to this year.
  • A one-time restructuring charge of $3M - 4M will be recorded this quarter.
  • Shares are off 13% after hours on robust volume.
  • Previously: Novavax slides 84% as vaccine trials disappoint (Sept. 15)

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