BioMarin will undergo a significant reduction in its global workforce, following a strategic review of its R&D portfolio.
In an SEC filing, BioMarin shared its plans to reduce its workforce by approximately 170 employees. The company expects to incur pre-tax charges of $15 to $20 million in the second quarter of 2024 for severance and other employee termination benefits. Most affected employees were notified by May 14, 2024, and the workforce reductions are expected to be largely completed by the end of July 2024.
The decision comes shortly after the company completed a portfolio assessment of its research and development programs in the first quarter of 2024. The review aimed to identify programs with the highest potential for transformative patient impact and value creation for shareholders. As a result, several programs will be accelerated, while others will be discontinued.
Last year, BioMarin snagged the FDA’s approval for Roctavian, the first gene therapy for adults with severe hemophilia A. Roctavian is intended for adults without antibodies to adeno-associated virus serotype 5 (AAV5), as detected by an FDA-approved test.
Earlier this year, the drugmaker disclosed in an SEC filing that it received a subpoena from the U.S. Department of Justice seeking information about its sponsored testing programs for two older treatments, Vimizim and Naglazyme. BioMarin stated it has provided the requested documents and is cooperating fully with the DOJ but did not guarantee that its programs comply with legal requirements.