Drug developer Oxigene Inc. (OXGN) said Thursday it plans to cut its workforce in half, as the company will stop enrolling new patients in a trial for its thyroid cancer treatment.
Instead, the biopharmaceutical company plans to focus its Phase II Zybrestat trial in non-small-cell lung cancer.
The company said it would continue to treat and monitor patients already enrolled in the thyroid cancer trial, and would publish survival analysis next year.
Oxigene said the restructuring will cost $600,000, while saving the company $2.6 million annually, beginning in the second quarter.
Last week, VaxGen Inc. (VXGN) shareholders voted down a $22 million buyout offer from Oxigene. VaxGen officials have said it is still possible the deal could go through.
Shares of Oxigene fell 4.7% to $1.24.