California-based biopharma Palisade Bio announced this week that it would be letting go of 20% of its staff and making overall organizational changes to reduce expenses to maximize the advancement of its lead clinical program, LB1148.
According to the SEC filing, Palisade will pay approximately $307,588 in severance payments as a result of the workforce reduction. But in its company statement, Palisade went on to say that the actions will put the company in a “much stronger financial position,” to tackle its phase 3 study of LB1148.
The drug is a broad-spectrum neutralizing agent that works on digestive enzymes, potentially helping to reduce intestinal damage. LB1148 has shown positive results in trials by both helping patients to regain bowel function quicker and reducing the incidence and severity of post-surgical abdominal adhesions.