ARTICLE | Company News

Exelixis cancer news

December 6, 2010 8:00 AM UTC

Exelixis will restructure and reduce headcount by about 260 (65%) to 140 over the next two years and focus internal development on cancer compound XL184. The announcement came during the company's annual R&D day on Dec. 2. The cuts will come across the entire company, including employees in discovery, development and G&A. Exelixis plans to partner its remaining preclinical and clinical compounds, including: XL228, a small molecule inhibitor of insulin-like growth factor-1 (IGF-1) receptor ( IGF1R), Src, BCR-ABL and the T3151 mutant form of Bcr-Abl; and XL888, an orally available small molecule inhibitor of heat shock protein 90 (Hsp90), that are both in Phase I testing for cancer.

At the meeting, President and CEO Michael Morrissey said the "turmoil" of 1H10 was the catalyst for the change in direction, citing a prior headcount reduction, the return of rights to XL184 from Bristol-Myers Squibb Co. (NYSE:BMY, New York, N.Y.), and the departure of CEO George Scangos. In 2011, Exelixis plans to start a Phase III trial of XL184 for castration-resistant prostate cancer (CRPC) and submit an NDA for the compound to treat medullary thyroid cancer (MTC). The company also announced plans to build out a commercial organization for XL184. ...