Anesiva cuts workforce by 20%

Anesiva says it will restructure operations, reducing the workforce 20% by eliminating its preclinical development function and other non-core positions. The US drugmaker is now focused primarily on sales, marketing, late-stage clinical development and outsourced manufacturing.

The San Francisco-based firm expects to record a one-time restructuring charge of $700,000 in the third quarter of the year. Anesiva believes that the restructuring and other cost reductions will result in annual operating cost savings of $20.0 million per year over current levels.

Commenting on the move, company chief executive Michael Krala said: "we believe these actions will expedite our ability to increase the company's value. Specifically, we will continue to strongly support the commercial growth of our first marketed product Zingo [lidocaine HCl monohydrate], which we recently launched as an analgesic prior to peripheral intravenous insertions and blood draws in children ages three to 18, and the timely and comprehensive clinical development and commercialization of Adlea, which is in late-stage clinical development for the management of acute pain following orthopedic surgeries."