Argos Therapeutics, Inc. (NASDAQ:ARGS) Files An 8-K Costs Associated with Exit or Disposal Activities
Item2.05.
|
Costs Associated with Exit or Disposal Activities |
On March 8, 2017, the Board of Directors (the Board) of Argos
Therapeutics, Inc. (the Company) approved a workforce action plan
designed to streamline operations and reduce the Companys
operating expenses. Under this plan, the Company plans to reduce
its workforce by 46 employees (or 38%) from 122 employees to 76
employees. The principal objective of the reduction is to enable
the Company to conserve its financial resources as the Company
conducts its ongoing review of the preliminary
ADAPT trial data set and discusses the data with
the U.S. Food and Drug Administration (FDA), following which the
Company will make a determination as to the next steps for the
rocapuldencel-T clinical program.
The Company expects that the workforce reduction will be
substantially complete by the end of March 2017. The Company
anticipates incurring approximately $1.3 million in total costs
associated with the workforce reduction and that such costs will
be incurred over the second and third quarters of 2017. The
Company expects that the workforce reduction will decrease its
annual operating costs by $5.7 million once the plan is fully
implemented.
The Company is continuing to review the potential impact of the
reduction in force and does not believe that there are any
significant additional expenses at this time.If it subsequently
determines that it will incur significant additional expenses, it
will amend this Current Report on Form 8-K to disclose such
information.
| Item5.02. |
Departure of Directors or Principal Officers; Election of Directors; Appointment of Principal Officers |
In connection with the reduction in force described in Item 2.05
above, Joan C. Winterbottom, the Companys Vice President and
Chief Human Resources Officer, will cease her employment with the
Company effective March 17, 2017. In connection with Ms.
Winterbottoms departure, the Compensation Committee of the Board
determined to accelerate the vesting of Ms. Winterbottoms
unvested restricted stock and stock options, such that all
unvested restricted stock and stock options will become vested
and exercisable in full on March 17, 2017. Ms. Winterbottom also
will receive the severance payments and benefits provided for her
in her Amended and Restated Employment Agreement dated as of June
10, 2016 with the Company.
Forward Looking Statements
Any statements in this Form 8-K about the Companys future
expectations, plans and prospects, including statements about its
strategy, future operations and financial obligations, and other
statements containing the words believes, anticipates, plans,
expects, and similar expressions, constitute forward-looking
statements within the meaning of The Private Securities
Litigation Reform Act of 1995. Actual results may differ
materially from those indicated by such forward-looking
statements as a result of various important factors, including
those discussed in the Risk Factors section of the Companys
Quarterly Report on Form 10-Q for the quarter ended September 30,
2016. Any forward-looking statements contained in this Form 8-K
speak only as of the date hereof and not of any future date, and
the Company expressly disclaims any obligation to update any
forward-looking statements, whether as a result of new
information, future events or otherwise.
About Argos Therapeutics, Inc. (NASDAQ:ARGS)
Argos Therapeutics, Inc. (Argos) is an immuno-oncology company. The Company is focused on the development and commercialization of individualized immunotherapies for the treatment of cancer and infectious diseases based on its technology platform called Arcelis. The Company’s Arcelis technology platform utilizes biological components from a patient’s own cancer cells or virus to generate individualized immunotherapies. The Company is engaged in the development of AGS-003 for the treatment of metastatic renal cell carcinoma (mRCC), and other cancers. It is conducting a pivotal Phase III clinical trial of AGS-003 plus sunitinib or another targeted therapy for the treatment of newly diagnosed mRCC under a special protocol assessment (SPA). It is engaged in the development of AGS-004 for the treatment of Human Immunodeficiency Virus (HIV). It has conducted over three clinical trials of AGS-004, including a Phase IIb clinical trial, Phase IIa clinical trial and Phase I clinical trial. Argos Therapeutics, Inc. (NASDAQ:ARGS) Recent Trading Information
Argos Therapeutics, Inc. (NASDAQ:ARGS) closed its last trading session down -0.10 at 1.25 with 405,564 shares trading hands.