Applied Molecular To Explore Strategic Alternatives

(RTTNews) - Applied Molecular Transport Inc. (AMTI), a clinical-stage biopharmaceutical company, Monday announced that the company's board of directors approved a workforce reduction of around 57% of its employee base.

The company also announced the engagement of MTS Health Partners, L.P. as advisors in a process to explore strategic alternatives for the company.

As part of the restructuring, Tahir Mahmood will leave his post as chief executive officer, but will remain as a board member. Shawn Cross, president and chief operating officer, will now serve as chief executive officer and has been appointed to the board where he will serve as chair.

"We continue to believe our proprietary technology, that enables the design of novel oral biologics, is an important innovation in the field of therapeutics." said Mr. Cross. "However, after an extensive assessment of our clinical programs and the current business environment, we have made the difficult decision to pause research and development as we close out existing programs and explore ending the AMT-101 Castro trial in Rheumatoid Arthritis at its current enrollment. In parallel, we are in the process of exploring strategic alternatives that may allow for further development of our clinical and earlier-stage programs with internal resources or via partnerships. We are deeply grateful to our go-forward team, recently departed colleagues, and founding scientists, including Tahir, for the innovation and advancement of our proprietary technology platform and dedication to AMT."