As a result of an in-depth review of the company's R&D portfolio, InVivo Therapeutics is realigning resources behind its novel Neuro-Spinal Scaffold and the Neuro-Spinal Scaffold Plus Stem Cells program for spinal cord injury (SCI).
Resources currently deployed toward InVivo's hydrogel drug delivery program will be eliminated. The hydrogel platform was at an early stage of preclinical development, and substantial financial and human resources would have been required to address technical and competitive challenges and to advance any drug delivery product to the partnering stage or into the clinic. One element of the hydrogel platform will be further explored—the potential of hydrogel for cell delivery, as part of an expanded biomaterials development program for the delivery of stem cells.
InVivo further is reducing its workforce by 28%, or 14 employees. These steps are expected to result in annualized savings of approximately $3 million and reduce cash expenditures by approximately 23% compared to 2013. With these savings, InVivo anticipates existing funds will be sufficient to support its planned activities through March 2016.
"Although reducing staff size and eliminating the hydrogel drug delivery program were difficult decisions, InVivo's focus will be even stronger on the company's core mission: developing meaningful treatments for spinal cord injury," CEO Mark Perrin said. "Going forward, all of the company's resources and efforts will be centered on the development of the Neuro-Spinal Scaffold for acute SCI and Scaffolds Plus Stem Cells for the treatment of chronic SCI. This focus will allow InVivo to advance the spinal cord injury programs without distraction and in a more financially efficient manner.”