CombinatoRx Concentrates on Core Strengths
CAMBRIDGE, Mass.--(BUSINESS WIRE)--Nov 20, 2008 - CombinatoRx, Incorporated (NASDAQ: CRXX) today announced a further restructuring, effective immediately, to focus on the core strength of the company: identifying novel product candidates based on unexpected biological synergies. This restructuring will include a planned further reduction of the Company's Cambridge workforce by approximately 30 employees, bringing the total workforce reduction to approximately 65%. These measures should allow the company to operate without additional equity financing for at least four more years.
“Our technology is uniquely capable of delivering important insights into how multiple drugs interacting with multiple targets affect the complex biology of human disease,” commented Alexis Borisy, President and CEO of CombinatoRx. “We have shown that our high throughput combination screening technology is a very effective tool for defining clinical candidates with novel properties, and that the effects observed in vitro have also demonstrated clinical results.”
Refocusing the CombinatoRx Business Model
CombinatoRx, Incorporated (CRXX) is pioneering the new field of synergistic combination pharmaceuticals. Going beyond traditional combinations, CombinatoRx creates product candidates with novel mechanisms of action striking at the biological complexities of human disease. These candidates are generated through the CombinatoRx proprietary drug discovery technology which provides a renewable and previously untapped source of novel drug candidates. The Company was founded in 2000 and is located in Cambridge, Massachusetts. To learn more about CombinatoRx, please visit www.combinatorx.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 concerning CombinatoRx, its expected business model and planned uses of capital, its drug discovery technology, its product candidates and their clinical or commercial potential, its partnering and business plans for its product candidates and technology platform and its financial condition, including anticipated charges, savings and cost reductions from its restructuring and its long-term cash position. These forward-looking statements about future expectations, plans and prospects of CombinatoRx involve significant risks, uncertainties and assumptions, including risks related to the unproven nature of the CombinatoRx drug discovery technology, the Company's inability to obtain new collaboration partners even when discussions may be ongoing or to otherwise obtain additional funding needed for further research and development of its product candidates, the Company's inability to realize anticipated or further cost reductions following the restructuring, and those other risks that can be found in the "Risk Factors" section of the CombinatoRx Annual Report on Form 10-K on file with the Securities and Exchange Commission and the other reports that CombinatoRx periodically files with the Securities and Exchange Commission. Actual results may differ materially from those CombinatoRx contemplated by these forward-looking statements. These forward looking statements reflect management's current views and CombinatoRx does not undertake to update any of these forward-looking statements to reflect a change in its views or events or circumstances that occur after the date of this release.
(c) 2008 CombinatoRx, Incorporated. All rights reserved.
Contact: CombinatoRx, Incorporated
Robert Forrester, 617-301-7100
Executive Vice President, Chief Financial Officer
Gina Nugent, 617-301-7099
VP, Corporate Communications and IR
Posted: November 2008