Syros Pharmaceuticals : Costs Associated with Exit/Disposal - Form 8-K
October 02, 2023 at 03:24 pm
Share
Item 2.05.
Costs Associated with Exit or Disposal Activities.
On October 2, 2023, Syros Pharmaceuticals, Inc. (the "Company") announced a strategic realignment to prioritize key development and pre-launchactivities to advance tamibarotene for the treatment of newly diagnosed higher-risk myelodysplastic syndrome and newly diagnosed acute myeloid leukemia. The Company will stop further investment in the clinical development of SY-2101(oral arsenic trioxide) for the treatment of newly diagnosed acute promyelocytic leukemia, as well as in the Company's preclinical and discovery-stage programs. Syros may pursue further development of SY-2101subject to additional capital availability.
In connection with these decisions, the Company's authorized officers instituted certain expense reduction measures that were endorsed by the Board of Directors (the "Restructuring"), including a reduction of approximately 35% of the Company's employee base (excluding members of the Company's drug discovery organization whose employment will end concurrently with the termination, effective October 16, 2023, of our collaboration with Pfizer, Inc. related to the discovery, development and commercialization of novel therapies for sickle cell disease and beta thalassemia (the "Pfizer Agreement Termination"), which was previously disclosed on the Company's Current Report on Form 8-Kfiled with the U.S. Securities and Exchange Commission on July 21, 2023). The Restructuring is expected to be complete by the end of 2023.
As a result of the Restructuring, the Company estimates that it will incur approximately $1.8 to $2.0 million in costs in the fiscal quarter ending September 30, 2023 resulting from cash expenditures consisting of severance and benefit payments, outplacement services and related expenses (including such expenses incurred in connection with the Pfizer Agreement Termination). In addition, the Company estimates that it will incur asset impairment charges of approximately $0.3 to $0.6 million relating to the retirement of laboratory equipment. The estimate of costs that the Company expects to incur and the expected timing to complete the Restructuring are subject to a number of assumptions, and actual amounts may differ. The Company may also incur other cash or non-cashcharges or cash expenditures not currently contemplated due to events that may occur as a result of, or in association with, the Restructuring.
Syros Pharmaceuticals Inc. published this content on 02 October 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 02 October 2023 14:22:59 UTC.
Syros Pharmaceuticals, Inc. is a biopharmaceutical company. The Company is focused on developing new standards of care for the frontline treatment of patients with hematologic malignancies. The Company is advancing Tamibarotene, a selective retinoic acid receptor alpha (RARα), agonist for which the Company is conducting SELECT-MDS-1, a Phase III clinical trial evaluating tamibarotene in combination with azacitidine in a genomically defined subset of patients with higher-risk myelodysplastic syndrome (HR-MDS), and for which it is conducting SELECT-AML-1, a randomized Phase II clinical trial evaluating tamibarotene in combination with venetoclax and azacitidine in a genomically defined subset of newly diagnosed patients with acute myeloid leukemia (AML). Its other assets include SY-2101 and SY-5609. The Company is seeking out-licensing opportunities for the further development of SY-5609, its highly selective and potent inhibitor of cyclin dependent kinase 7 (CDK7).
SYROS PHARMACEUTICALS, INC. 
