Good news doesn’t cancel out the bad stuff
17.04.2012 - Swiss Addex has announced positive results from ongoing studies.
Yet it is dismissing 28 workers – perhaps a delayed effect from bad news last fall.
Geneva – On April 16, only three days after the announcement that its ongoing restructuring efforts will result in laying off 28 employees, Swiss Addex Therapeutics reported positive preclinical data for its lead GABA-B receptor modulator. The orally administered small molecule ADX71441 is a positive allosteric modulator (PAM). In both guinea pig and mouse studies, the selective activation of GABA-B alleviated symptoms in disease-relevant models of overactive bladder (OAB). While Addex aims for IND/CTA filing before the end of the year, another PAM is already being evaluated in a Phase 2a clinical trial by Addex’ partner Janssen Pharmaceuticals. Activating the glutamate receptor mGluR2 with ADX71449 is being tested to treat schizophrenia.
Yet even better news was publicised in March when Addex reported that in a Phase 2a clinical trial, all key objectives had been achieved: Parkinson’s disease patients suffering from levodopa-induced dyskinesia (LID) were given oral dipraglurant, a small molecule allosteric modulator selectively inhibiting the glutamate receptor mGluR5. The compound not only proved to be safe and tolerable but also significantly reduced dyskinesia severity. In terms of sentiment, however, this news doesn’t make up for the announced workforce cut required. President and CEO of Addex, Bharatt Chowrira, said: „We deeply regret the loss of people’s jobs at Addex but we believe it is necessary to improve the operational efficiency.“
Addex was forced to sail close to the wind last November when Merck & Co. opted not to continue the joint development of ADX88178, a PAM targeting mGluR4. The drug is also assigned to treat Parkinson’s disease. The current lay-offs could very well be the delayed effects of Merck leaving Addex high and dry.