Keros Therapeutics reducing headcount by 45%

Keros Therapeutics (KROS) has decided to reduce the company’s headcount by approximately 45% in connection with the decision to discontinue all development of cibotercept in PAH and an assessment of its ongoing development programs. After the reduction, the company will have 85 full-time employees. The reduction in headcount will commence after the 60-day notice period required by the Worker Adjustment and Retraining Notification Act has elapsed, and as a result of these actions, Keros expects to realize average annualized cost savings of approximately $17M. With the assistance of outside financial and legal advisors, the Strategic Committee of the Board is continuing to evaluate a comprehensive range of strategic alternatives, including but not limited to a sale of the company or other business combination transaction, continued investment in the company’s pipeline, and/or return of excess capital to stockholders. Keros intends to provide a preliminary update regarding the status of the process no later than June 9.