IZB alumnus MorphoSys AG (FSE: MOR; NASDAQ: MOR), announced in early March that the company will stop work and operations on its pre-clinical research programs to optimize its cost structure. While the data from these pre-clinical programs are promising, MorphoSys would need to make substantial investments to bring these programs into the clinic. As a result, MorphoSys will reduce its workforce at the company’s headquarters in Planegg, Germany, by approximately 17%. These staff reductions affect approximately 70 employees in various areas of research, translational research and technical development. This action, along with other steps taken over the past year, enables MorphoSys to focus resources on its mid- to late-stage oncology pipeline.

“Over the past year, we right-sized our cost structure and focused our resources on our core strategic priorities to ensure MorphoSys’ long-term success. Given the challenging market we are operating in, we need to continue to concentrate our investments on our most-advanced clinical programs that will have the greatest and most immediate impact on patients’ lives,” said Jean-Paul Kress, M.D., Chief Executive Officer of MorphoSys. “While the changes we are making are necessary, we did not come to these decisions lightly. We will treat our departing employees with the utmost respect, provide them with comprehensive benefits packages, and support them with their transitions. I want to express my personal appreciation for the meaningful contributions they have made to MorphoSys, science, and most importantly, patients’ lives.”

“Currently, our top priority is to drive our late-stage oncology pipeline forward. Our pipeline includes three Phase 3 trials – most importantly, our MANIFEST-2 study of pelabresib in first-line myelofibrosis. Pelabresib has great potential to enhance the standard of care in myelofibrosis, and we look forward to sharing topline data from the pivotal study in early 2024,” Dr. Kress added. “We remain steadfast in our commitment to provide cancer patients with safer and more effective treatment options.”

MorphoSys will explore other options for these pre-clinical research programs. The company will focus its remaining research work on translational research and technical development support for its mid- to late-stage clinical programs.

MorphoSys develops innovative cancer medicines
At MorphoSys, we are driven by our mission: More life for people with cancer. As a global commercial-stage biopharmaceutical company, we use groundbreaking science and technologies to discover, develop, and deliver innovative cancer medicines to patients. MorphoSys is headquartered in Planegg, Germany, and has its U.S. operations anchored in Boston, Massachusetts. To learn more, visit us at www.morphosys.com.