BiomX Announces Corporate Restructuring | BioSpace
BRANFORD, Conn. & NESS ZIONA, Israel–(BUSINESS WIRE)– BiomX Inc. (NYSE American: PHGE) (“BiomX” or the “Company”), a clinical-stage microbiome company advancing novel natural and engineered phage therapies that target specific pathogenic bacteria, today announced a restructuring plan business to focus its resources and extend the cash trail. The Company had $55.7 million in cash, cash equivalents and short-term deposits and a credit facility of $15 million as of March 31, 2022.
Due to current market conditions, BiomX is implementing a corporate restructuring plan aimed at extending the Company’s capital resources until at least mid-2024. Under this plan, the Company intends to reduce its current operating costs, including a 50% reduction in staff, while prioritizing the ongoing Cystic Fibrosis (“CF”) program.
“In light of the challenges facing our industry, we have decided to maximize the value of our current cash resources and reduce our operating expenses to better focus our efforts,” said Jonathan Solomon, President and CEO. from BiomX. “While such decisions are clearly difficult to make, BiomX is now taking this proactive course of action so that we can be better positioned to hit key value-driving inflection points.
“Our phase 1b/2a cystic fibrosis study of BX004 is progressing and remains on track, and we continue to expect reading of part 1 study data in the third quarter of 2022. While the restructuring will result in a delay in our atopic dermatitis (“AD”), we currently plan to support a range of activities that will continue to drive this program forward, and we plan to provide a more detailed program update later in the year.
“Looking forward, we believe that conserving our financial resources and achieving positive clinical results are the most important corporate goals for the coming months. By implementing these steps, we believe that BiomX will remain on a clear and solid path towards creating increased value for our shareholders.
BiomX is a clinical-stage microbiome company that develops natural and artificial phage cocktails designed to target and destroy bacteria in the treatment of chronic diseases, such as cystic fibrosis, atopic dermatitis, inflammatory bowel disease, primary sclerosing cholangitis and colorectal cancer. BiomX discovers and validates proprietary bacterial targets and customizes phage compositions against those targets.
Additional information is available at www.biomx.com, the content of which does not form part of this press release.
This press release contains express or implied “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as: “target “, “believe”, “expect”, “will”, “may”, “anticipate”, “estimate”, “would”, “position”, “future” and other similar expressions that predict or indicate future events or trends or which are not statements of historical matters. For example, when BiomX discusses its expected cash trail, its ability to achieve key value-driving inflection points in its CF and AD programs, its expectations regarding the timing and results of its CF Phase 1b/ 2a, its plan to move the AD program ahead and its potential to deliver increased shareholder value, BiomX makes forward-looking statements. Forward-looking statements are neither historical facts nor guarantees of future performance. Instead, they are based solely on the current beliefs, expectations and assumptions of BiomX management. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are beyond BiomX’s control. Actual outcomes and results may differ materially from those indicated in the forward-looking statements. Accordingly, investors should not rely on any such forward-looking statements and should consider the risks and uncertainties described under “Risk Factors” in BiomX’s Annual Report on Form 10-K filed with the Securities and Exchange. Commission (the “SEC”) on March 30, 2022 and additional disclosures BiomX makes in its other filings with the SEC, which are available on the SEC’s website at www.sec.gov. Forward-looking statements are made as of the date of this press release and, except as otherwise required by law, BiomX expressly disclaims any obligation or undertaking to update any forward-looking statements.
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Source: BiomX Inc.