AgeX Therapeutics Announces Reduction in Projected Cash Expenditures
May 01 2020 - 8:54AM
Business Wire
AgeX Therapeutics, Inc. (“AgeX”; NYSE American: AGE), a
biotechnology company developing therapeutics for human aging and
regeneration, announced that based on a strategic review of its
operations, giving consideration to the status of its product
development programs, human resources, capital needs and resources,
and current conditions in the capital markets resulting from the
COVID-19 pandemic, it is initiating staff layoffs, anticipated to
affect 12 employees, primarily research and development personnel.
The layoffs are expected to be completed on or around May 1, 2020.
AgeX expects to pay approximately $105,000 in accrued payroll and
unused paid time off and other benefits and expects to recognize
approximately $194,800 in restructuring charges in connection with
the reduction in staffing, consisting of contractual severance and
other employee termination benefits, substantially all of which are
expected to be settled in cash.
AgeX plans to continue to pursue its licensing and collaboration
strategy for its two primary technology platforms, UniverCyte™
immunotolerance technology, and PureStem™ cell derivation and
manufacturing technology. Since the launch of its licensing and
collaboration strategy in January 2020, AgeX delivered a research
collaboration in Japan focused on developing universally
transplantable cells for therapeutic use based on UniverCyte™, and
entered into a neural stem cell therapy research collaboration for
neurological disorders utilizing PureStem™ at a California state
university. AgeX’s budgetary and personnel adjustments will result
in the deferral of in-house work on the development of AgeX therapy
product candidates, including AGEX-VASC1 and AGEX-BAT1, and its
induced tissue regeneration (iTR) technology, and may also lead to
outsourcing of some of that work, until further funding can be
obtained to rebuild a research and development staff for one or
more of those programs. Development of AgeX’s iTR technology may be
done at AgeX’s subsidiary Reverse Bioengineering, Inc. subject to
successful financing of the subsidiary.
About AgeX Therapeutics
AgeX Therapeutics, Inc. (NYSE American: AGE) is focused on
developing and commercializing innovative therapeutics for human
aging. Its PureStem® and UniverCyte™ manufacturing and
immunotolerance technologies are designed to work together to
generate highly defined, universal, allogeneic, off-the-shelf
pluripotent stem cell-derived young cells of any type for
application in a variety of diseases with a high unmet medical
need. AgeX has two preclinical cell therapy programs: AGEX-VASC1
(vascular progenitor cells) for tissue ischemia and AGEX-BAT1
(brown fat cells) for Type II diabetes. AgeX’s revolutionary
longevity platform induced Tissue Regeneration (iTR™) aims to
unlock cellular immortality and regenerative capacity to reverse
age-related changes within tissues. AGEX-iTR1547 is an iTR-based
formulation in preclinical development. HyStem® is AgeX’s delivery
technology to stably engraft PureStem cell therapies in the body.
AgeX is developing its core product pipeline for use in the clinic
to extend human healthspan, and is seeking opportunities to
establish licensing and collaboration arrangements around its broad
IP estate and proprietary technology platforms.
For more information, please visit www.agexinc.com or connect
with the company on Twitter, LinkedIn, Facebook, and YouTube.
Forward-Looking Statements
Certain statements contained in this release are
“forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. Any statements that are
not historical fact including, but not limited to statements that
contain words such as “will,” “believes,” “plans,” “anticipates,”
“expects,” “estimates” should also be considered forward-looking
statements. Forward-looking statements involve risks and
uncertainties. Actual results may differ materially from the
results anticipated in these forward-looking statements and as such
should be evaluated together with the many uncertainties that
affect the business of AgeX Therapeutics, Inc. and its
subsidiaries, particularly those mentioned in the cautionary
statements found in more detail in the “Risk Factors” section of
AgeX’s most recent Annual Report on Form 10-K filed with the
Securities and Exchange Commissions (copies of which may be
obtained at www.sec.gov). Subsequent events and developments may
cause these forward-looking statements to change. AgeX specifically
disclaims any obligation or intention to update or revise these
forward-looking statements as a result of changed events or
circumstances that occur after the date of this release, except as
required by applicable law.
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version on businesswire.com: https://www.businesswire.com/news/home/20200501005295/en/
Media Contact for AgeX:
Russell Skibsted rskibsted@agexinc.com (510) 671-8370
AgeX Therapeutics (AMEX:AGE)
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