Radnor biopharma lays off 45% of staff, exploring ‘strategic alternatives’
Marinus Pharmaceuticals sells a drug to reduce seizures in people with a rare genetic disorder. Recently, a study showed the drug failed to significantly reduce seizures in another disorder.
Marinus Pharmaceuticals, a company based in Radnor that focuses on therapies for seizures, is laying off nearly half of its workforce after disappointing results from a clinical trial.
On Tuesday, the company said it has enough cash to last into the second quarter of 2025.
As a result, the company has asked Barclays to help it explore “strategic alternatives” — which, in industry-speak, can mean a sale or merger.
Marinus sells Ztalmy (ganaxolone), an oral drug designed to reduce seizures in people with CDKL5 deficiency disorder. This is caused by changes in the CDKL5 gene, which encodes a protein that contributes to normal brain development and function. The condition is marked by frequent seizures that begin soon after birth, intellectual disabilities, and trouble walking, among other issues. It affects up to 1 in 40,000 newborns, mostly girls.
Ganaxolone — approved by the FDA two years ago to reduce seizures in CDKL5 deficiency disorder — appears to work by acting on a chemical in the brain that calms nerve cells. According to Marinus, it is the “first and only” seizure medication designed specifically for people with CDKL5 deficiency disorder.
Last month, the company announced that ganaxolone failed to show that it could significantly reduce the number of seizures in people with tuberous sclerosis complex, another rare genetic disease that can lead to seizures.
Following those trial results, Marinus said in October it was “discontinuing further ganaxolone clinical development and is taking additional steps to reduce costs, including a reduction in its workforce.”
On Nov. 12, the company announced it was cutting its workforce by approximately 45%. As of September, it had cash and cash equivalents of $42.2 million, which can keep the company going into the second quarter of 2025.
More than 200 patients are currently taking Ztalmy. When asked what would happen if Marinus gets purchased or closes when the money runs out, a spokesperson said: “Marinus will continue to supply and support the commercial growth of ZTALMY as it explores strategic alternatives.”
In May, Marinus laid off 20% of its workforce (35 people) to preserve cash. In Q3 of 2024, Ztalmy brought in a net revenue of $8.5 million, up 56% from the same period in 2023.