C4 Therapeutics, a clinical-stage biopharmaceutical company, has seen a 13% increase in its shares, reaching $8.22, after implementing a restructuring plan that includes layoffs. This strategic move aims to extend the company’s cash runway and ensure its financial stability.
Despite hitting a 52-week low of $1.06 on December 6, the stock has experienced a 4% growth over the past 12 months. Looking ahead to 2024, C4 Therapeutics has outlined several key priorities, including advancing its CFT7455 and CFT1946 clinical programs to value-inflection milestones.
Additionally, the company will support the Phase 1 development of CFT8919 in China through its partnership with Betta Pharmaceuticals. Alongside these initiatives, C4 Therapeutics aims to deliver on three discovery collaborations and streamline its internal discovery efforts.
To achieve its financial goals, C4 Therapeutics plans to reduce its workforce by 30% as part of the restructuring process. This measure, combined with other cost-saving strategies, will extend the company’s balance sheet, providing sufficient runway to reach critical value-inflecting clinical and discovery milestones.
As of the end of last week, the company reported unaudited cash, cash equivalents, and marketable securities amounting to $330 million. With anticipated cost savings from the restructuring measures, C4 Therapeutics expects to fund its operating plan through 2027 using its current cash reserves.
