A pharmaceutical company reduces its workforce | News

HIGH POINT – Pharmaceutical company High Point vTv Therapeutics announced last month that it had laid off about 65% of its workforce as part of a strategy to prioritize its work on a new diabetes treatment.

The company, which leases office space in the Premier Center business park, did not say in a Dec. 6 press release how many employees it has and how many have been laid off.

Company representatives have not responded to emails and the phone message from his office says his current employees are working remotely due to the coronavirus pandemic.

The latest US Securities and Exchange Commission filing for the company came in December and briefly touched on the layoffs. It says vTv Therapeutics expects to incur severance costs of approximately $1.5 million and potential annual savings of $2.8 million as a result of the cuts.

“Some of these reductions may be offset by higher costs for outsourced services that cannot be quantified at this time,” the filing said.

The company, which develops clinical-stage drug components, is touting its lead product called TTP399 as part of a new treatment for type 1 diabetes, an incurable autoimmune disease that affects more than 1.6 million people in the United States.

The press release states that its product has been shown in studies to reduce hypoglycemia, the most common complication of the disease.

“Restructuring is always difficult, but it allows us to focus on TTP399 and our future growth,” said Deepa Prasad, president and CEO of vTv Therapeutics, in the statement. “The management of hypoglycemia is a serious issue that impacts the lives of patients and their families. We are excited to see TTP399’s novel mechanism of action to reduce hypoglycemic episodes with a well-tolerated safety profile. We continue to work with the FDA to chart a clear and positive path for our pivotal Phase 3 studies with the goal of improving the quality of life for patients managing this chronic and burdensome disease.

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