Video game therapy maker Akili up on transition to non-prescription model

Akili

13/09/2023 14:52

** Video game therapy maker Akili's  AKLI.O  shares rise
9.2% to $0.98
    ** Company will transition from a prescription to a
non-prescription business model, plans to pursue regulatory
approval for over-the-counter labeling of its products
    ** Company to also reduce workforce by about 40%, with two
thirds of it coming from elimination of its field sales force
and market access team
    ** Company released EndeavorOTC, a digital therapeutic, in
June to improve symptoms of attention-deficit/hyperactivity
disorder (ADHD)
    ** AKLI believes transition will enable company to generate
revenue to support gross margins between 60%-70% by late 2025
    ** 3 of 4 brokerages rate the stock "buy", 1 "hold"; median
PT $4 - LSEG
    ** As of Tuesday's close, stock down 20.3% YTD

 (Reporting by Leroy Leo in Bengaluru)
 ((Leroy.Dsouza@thomsonreuters.com; https://twitter.com/LeroyLeo7))