Rigel Pharma To Exit Early-stage Research; To Cut Workforce - Quick Facts

(RTTNews) - Rigel Pharmaceuticals, Inc. (RIGL) announced plans to exit early-stage research and focus resources on its mid to late-stage development programs and its commercial efforts. The company will reduce its workforce by 16%, resulting in the elimination of 31 positions, primarily in the research organization.

Rigel expects that it will recognize in the fourth quarter a one-time severance-related charge, which will consist of cash severance and non-cash expense related to option modifications. The company estimates that the cash-related charge will be approximately $3.3 million. Rigel expects this measure will provide reduced operating expenses ranging from $11-$15 million annually starting in 2022.

Shares of Rigel Pharmaceuticals were up 2% in pre-market trade on Monday.