Molecular Partners to reduce workforce by 24%

Molecular Partners (MOLN) announced that it has performed a strategic review of its current operations and headcount, with the objectives of increased efficiency in the organization and to sharpen the focus on advancing its clinical assets. As a result of this review the company has informed the Amt fur Wirtschaft of Kanton Zurich, or Office for Economic Affairs, of its intention to reduce its current workforce by no more than 40 positions, representing a potential of ~24% of all positions. “With strong data emerging from MP0533 and MP0712, our priority is to develop these assets which can provide most value for patients and shareholders. The plan to right-size the organization extends our cash reach into 2028, supporting both the development of our clinical assets and advancement of new products into the pipeline. We recognize the contribution that all of our talented employees have made to Molecular Partners and thank them as we take this difficult decision. The Board and I believe this is the right strategic path for the company to help secure its future success,” said Patrick Amstutz, CEO of Molecular Partners. In accordance with Swiss employment law a consultation process with employees has been initiated. Upon completion of the consultation process, the company will offer affected employees support. This will include, but will not be limited to, severance packages, and support in seeking new employment, coaching or training opportunities. Molecular Partners foresees the full implementation of these changes enacted by the end of 2025 and the reduction of costs to become fully effective early in 2026. As a result of these headcount reductions, the company now anticipates its cash runway to extend into 2028, beyond its prior guidance of 2027. The strategic review was undertaken to identify certain redundancies within the organization, with a focus on research and associated functions. The company will report its half-year financials on August 25. Molecular Partners maintains its previously announced timelines with clinical data from both MP0533 and MP0712 expected in H2 2025.