Vyant Bio Begins Cash Preservation Plan, Potentially Winding Down Operations
February 6, 2023
Rare Daily Staff
Vyant Bio, a company focused on neurodevelopmental and neurodegenerative disorders, said its board of directors has decided to reduce its workforce “as soon as practical” so as to preserve cash to allow the company to pursue satisfactory strategic alternative transactions and/or execute an orderly wind down of the company, if necessary.
John Roberts, president and CEO, and Robert Fremeau, chief scientific officer, have agreed to step down from their respective positions, effective as of February 3, 2023, to preserve cash for the execution of an orderly wind down process. Roberts will remain a member of the board of Vyant.
Andrew LaFrence, currently the Vyant’s chief financial officer, will assume the position of president and CEO to lead the company through this period of transition.
“The company’s board and management believe that it is prudent to allow time for LifeSci Capital to continue its mandate of exploring potential strategic transactions while providing for prudent cash management in the event strategic alternatives fail to materialize and an orderly wind down of the company’s operations becomes necessary,” said LaFrence, chief financial officer of Vyant Bio.”
The company’s decision to potentially pursue other strategic alternatives to unlock material value is based on its belief that its stock price does not reflect the fundamental value of the business.
In a separate SEC filing, Vyant said it had $8.4 million in cash at the end of January and expects to complete the workforce reduction by the end of February.
Vyant focuses on identifying unique biological targets and novel and repurposed therapeutics for treating the debilitating neurodevelopmental and neurodegenerative disorders for which there are no current therapies. Current programs target Rett Syndrome, CDKL5 Deficiency disorders, and familial Parkinson’s disease.
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