CAMBRIDGE, Mass., July 20, 2016 (GLOBE NEWSWIRE) -- Aegerion Pharmaceuticals, Inc.(NASDAQ:AEGR), a biopharmaceutical company dedicated to the development and commercialization of innovative therapies for patients with debilitating rare diseases, today announced that it intends to withdraw lomitapide from the European Union (EU) and certain other global markets. In addition, the Company is reducing approximately 13 percent of its global workforce. This represents a reduction from year-end 2015 of approximately 40 percent.
As part of its plan to withdraw lomitapide from certain markets outside the U.S., Aegerion intends to evaluate its strategic options, including divestiture or licensing of Aegerion’s rights to lomitapide to a partner that can continue to provide access to the therapy for HoFH patients in need. The Company will maintain certain infrastructure in the EU to support the launch of MYALEPT® (metreleptin for injection) in this region upon anticipated approval in late 2017.
This revised lomitapide strategy and reduction in force are part of a broad cost reduction program taken by Aegerion in response to the continuing impact of competitive therapies on JUXTAPID® (lomitapide) capsules sales. The goals of the program are to significantly reduce operating expenses, extend the Company’s cash position, and facilitate cash generation from operations in 2017.
“We are making difficult but necessary decisions to realign our business with the goal to position the Company for future growth and financial strength,” said Chief Executive Officer Mary Szela. “I want to thank our employees who were impacted by the announcement today for their meaningful contributions to benefit patients and our company.”
Ms. Szela continued, “We are disappointed to announce that we intend to withdraw lomitapide from these markets, but after significant time and investment to obtain pricing and reimbursement approvals in these regions, with limited success, we feel we have exhausted these efforts and must reprioritize our resources. Our patients are a priority, and we are committed to evaluating how we can minimize the impact from these decisions. We continue to believe lomitapide is an important treatment option for adult HoFH patients globally and we plan to continue our efforts to deliver this therapy to patients in regions such as the U.S., Brazil and, upon anticipated marketing approval, Japan. Our focus on other initiatives, including the expansion of MYALEPT globally and into additional indications, is unwavering.”
The goal of the reconfiguration is to reduce 2017 operating expenses by between $25 and $35 million relative to the previously stated 2016 operating expense guidance of between $145 and $155 million. Aegerion plans to provide financial guidance upon the closing of the merger with QLT Inc., anticipated to occur late in the third quarter or early in the fourth quarter of 2016. The Company expects to complete the reduction in force during the third quarter of 2016, and to substantially complete the payment of employee separation and other material costs associated with the restructuring by the second quarter of 2017. The Company expects to complete the withdrawal of lomitapide from the EU and certain other global markets by the end of 2016, unless the Company earlier enters into ongoing supply and other arrangements with suitable partners in such markets.
About Aegerion Pharmaceuticals, Inc.
Aegerion Pharmaceuticals is a biopharmaceutical company dedicated to the development and commercialization of innovative therapies for patients with debilitating rare diseases. For more information about the Company, please visit www.aegerion.com.
