Esperion Therapeutics (ESPR) Announces Long-Term Transformative Growth Plan and Updates Outlook

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Esperion (NASDAQ: ESPR) today announced its plan to align the operational structure and expenses to better enable the future growth of its two first-class oral drugs, NEXLETOL® (bempedoic acid) and NEXLIZET® (acid bempedoic and ezetimibe) and prioritize its investment in CLEAR results. The Company has also released updated expense forecasts for Fiscal 2021 and Fiscal 2022 reflecting lower operating costs than previous estimates and preliminary unaudited US net sales of 10.5. to $ 11.0 million for the quarter ended September 30, 2021.

“In-person access to healthcare providers has been negatively affected by the ongoing COVID-19 pandemic. We are adapting to meet their needs in a more efficient manner while increasing awareness of our products, ”said Sheldon Koenig, President and CEO of Esperion. “Cardiovascular disease remains the leading cause of death in the world. ESPERION is fortunate to have two well-received, approved and available first-in-class drugs, giving us the opportunity to become a leader in the cardiovascular market. Today’s decision will help further develop NEXLETOL and NEXLIZET while preserving resources to support our clinically important and differentiated outcome trial CLEAR, which we believe has the potential to significantly increase the adoption of our agents. innovative cholesterol-lowering drugs.

After a systematic review of our organization and the challenges associated with launching NEXLETOL and NEXLIZET during the COVID-19 pandemic, the Company has implemented changes to align the business with the realities of the current market environment. The company will reduce operational expenses across the organization through a 40% reduction in the company’s workforce and targeted program savings.

The Company will focus its marketing efforts on an optimized blend of targeted outreach, including a streamlined sales force, directed to targeted cardiologists and primary care physicians, and a suite of digital initiatives designed to increase awareness and reach. use of its medications in appropriate patients. This flexible model will reduce expenses while preserving our ability to generate consistent growth leading to the reading of the Clear Outcomes essay and beyond.

Update of the financial perspective:

ESPERION has revised its operating expense forecast for 2021 and expects at least $ 20 million in savings from previously released mid-term expense forecast. The Company now estimates research and development expenses for fiscal 2021 at $ 110 to 115 million (compared to $ 120 to 130 million previously) and selling, general and administrative expenses for fiscal 2021 to 195 to 200 million dollars (previously 200 to 210 million dollars). ), including $ 25 million of non-cash stock-based compensation expense. These reductions reflect the already implemented optimization activities that the Company expects to realize as an expense for the third and fourth quarters of this year.

ESPERION forecasts that research and development expenses for fiscal 2022 will be $ 100-110 million and selling, general and administrative expenses for fiscal 2022 will be $ 120-130 million. ESPERION expects FY2022 operating expenses to be between $ 220 million and $ 240 million, including $ 25 million in non-cash stock-based compensation expense.

As at September 30, 2021, total cash, cash equivalents and restricted cash was approximately $ 153.7 million, assuming $ 50.0 million will become restricted cash. to a block account control agreement pursuant to the Guarantee Agreement Amendment and Waiver (the “Amendment and Waiver”) by and among the Company, Eiger Partners II LP and Eiger III SA LLC (” Oberland “) after the specified net income (as defined in the amendment and waiver) for the quarter ended September 30, 2021 has not exceeded $ 15.0 million, unless we are able to negotiate a waiver with Oberland on terms acceptable to both parties There were approximately 26.8 million ordinary shares outstanding, excluding the 2.0 million own shares to be purchased under the prepaid forward transaction in the under the convertible debt financing with an additional 4.6 million issuable upon the exercise of stock options and the acquisition of restricted stock units.

The preliminary unaudited results described in this press release are estimates only and are subject to revision until the Company releases its complete financial results for the third quarter of 2021 on November 2, 2021.

Conference Call and Webcast Information

ESPERION will host a conference call and webcast today, October 18, 2021 at 8:00 a.m. Eastern Time to provide more information on today’s announcement and answer questions. The call is accessible by dialing (877) 831-3840 (domestic) or (253) 237-1184 (international) five minutes before the start of the call and providing the access code 7683898.

A live audio webcast can be viewed on the Investors and Media section of the ESPERION website at investor.esperion.com. Access to the replay of the webcast will be available approximately two hours after the call ends and will be archived on the ESPERION website for approximately 90 days.


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