Autolus Therapeutics is set to reduce its headcount by around 20% and seek a partner for one of its dual-targeted CAR-T candidates. The changes will increase Autolus’ focus on CD19 CAR-T cell therapy AUTO1 ahead of the anticipated delivery of pivotal data on the candidate next year.
London-based Autolus has a pipeline of four clinical-phase CAR-T cell therapies spearheaded by AUTO1, which is in a pivotal trial in adult acute lymphoblastic leukemia (ALL) and an earlier-phase study in non-Hodgkin lymphoma. Having delivered more data on AUTO1 late last year, Autolus has decided to narrow its focus toward its most advanced asset.
The changes will cost people their jobs. Autolus expects to lay off around 20% of its staff in the first quarter. Given Autolus ended 2019 with 292 employees, the cuts are likely to affect tens of positions.
Autolus expects the cuts to save it around $15 million a year. As of the end of September, Autolus had $178 million in the bank, down from $243 million six months earlier. Burning through around $33 million a quarter, Autolus could run its cash reserves down to zero in a little more than a year. The cuts will reduce the burn rate.
Business development could further strengthen Autolus’ financial footing. The biotech is looking for a partner for its CD19xCD22 dual-targeted CAR-T prospect AUTO3. Autolus is nearing the conclusion of a phase 1/2 trial of AUTO3 in diffuse large B-cell lymphoma (DLBCL), having wrapped up a trial in ALL last year, but will seek a partner before moving into the next stage of development.
AUTO3 has been on shaky ground since Autolus stopped development in pediatric ALL after getting a look at early data and delayed a phase 2 DLBCL in response to a manufacturing setback. Autolus is now pursuing CD19 and CD22 through AUTO1/22, a dual-targeted twist on its lead candidate.
Data drops on AUTO1/22 in pediatric ALL and AUTO4 in peripheral T-cell lymphoma are scheduled for this year. Autolus is also looking to expand development of AUTO1 into primary CNS lymphoma and other B-cell malignancies.
The changes underway at Autolus extend to the management team. Adam Hacker, Ph.D., and Nushmia Khokhar, M.D., respectively the senior vice presidents of regulatory affairs and clinical development, are set to leave in the first quarter. The departure of Khokhar could leave Autolus without a SVP of clinical development or a chief medical officer.
Autolus is still looking for a CMO to replace Vijay Peddareddigari, M.D., who left to return to the U.S. last summer. Khokhar stepped up to the SVP position around the time Peddareddigari left but is now set to follow him out the door. Autolus has promoted David Brochu to the role of chief technical officer, expanding his brief beyond his responsibilities as SVP of product delivery.