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CARGO Therapeutics Announces Major Workforce Reduction

Story Highlights
  • CARGO Therapeutics is reducing its workforce by 90% and suspending pipeline development.
  • Anup Radhakrishnan is appointed interim CEO to explore strategic alternatives, including a reverse merger.
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CARGO Therapeutics Announces Major Workforce Reduction

An announcement from CARGO Therapeutics, Inc. ( (CRGX) ) is now available.

On March 13, 2025, CARGO Therapeutics announced a significant reduction in its workforce by 90% and the suspension of all pipeline development efforts as it explores strategic alternatives, including a potential reverse merger. This decision, aimed at preserving cash and maximizing shareholder value, involves appointing Anup Radhakrishnan as interim CEO and incurring expenses between $24 million to $29 million. The company acknowledges the contributions of departing executives, including CEO Gina Chapman and CMO Dr. Ginna Laport, who will leave by May 19, 2025, under separation agreements. CARGO’s strategic shift reflects its focus on maximizing shareholder value and finding a new direction for its remaining assets.

More about CARGO Therapeutics, Inc.

CARGO Therapeutics, Inc. is a biotechnology company specializing in the development of potentially curative cell therapies for cancer patients. Their pipeline includes the CRG-023 product candidate, a tri-specific CAR T-cell therapy designed to address relapse causes in B-cell malignancies, and a novel allogeneic platform aimed at broadening the availability of CAR T-cell therapy.

YTD Price Performance: -72.69%

Average Trading Volume: 1,006,028

Technical Sentiment Consensus Rating: Buy

Current Market Cap: $193.9M

See more data about CRGX stock on TipRanks’ Stock Analysis page.

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