Benzinga | Sep 27, 2021 04:06PM EDT

Ziopharm Oncology Announces Strategic Reduction in Workforce, Extension In Cash Runway

Ziopharm Oncology, Inc. ("Ziopharm" or the "Company") (NASDAQ:ZIOP), today announced a restructuring enabling the company to advance its TCR program. Approximately 60 positions have been eliminated. The Company expects the changes will extend the cash runway into the first half of 2023.

Kevin S. Boyle, Sr., Chief Executive Officer, said, "We appreciate the many contributions the impacted employees made to Ziopharm and we commit to supporting these valued colleagues during this transition. We believe today's strategic decision was necessary to create an organization structured and staffed for success and focused on the goal of generating clinical data in our promising TCR-T Library program. I am confident in the ability of our highly talented team to execute our strategy."

"The Board is fully supportive of Kevin and this capital allocation strategy and creating focus at Ziopharm," said James Huang, Executive Chairman of the Board. "Ziopharm is singularly concentrated on being a leading TCR-T company and with this action today Kevin has demonstrated the strategic vision and leadership skills needed for our future."

The Company also announced the first patient in its TCR-T Library Phase I/II clinical trial is expected to be dosed in the first half of 2022 after experiencing unforeseen delays caused by inadequate resources at its contract manufacturer. The Company is continuing to invest in its own manufacturing capabilities to accelerate patient dosing and is committed to having internal manufacturing capabilities operational in the first half of 2022 to support the first patient dosing.

The Company is focused on executing on the following key strategic goals:

* Creating a robust Research & Development organization capable of generating IP for new TCRs targeting hotspot mutations

* Operationalizing internal manufacturing capable of supporting early-stage trials

* Generating clinical data in our TCR-T investigational trial Continuing transparent communication with our shareholders and serving as responsible stewards of capitalZ