Allakos to stop further development of skin disease drug, plans job cuts (updated)

Allakos

16/01/2024 12:27

(Adds details in paragraphs 3-5)
       Jan 16 (Reuters) - Allakos Inc  ALLK.O  said on Tuesday
that it plans to discontinue the development of its experimental
skin disease drug after it failed two mid-stage studies. 
    The company also said it aims to cut 50% of its workforce as
part of a restructuring.  
    The company was testing its experimental drug, called
lirentelimab, as a potential treatment for the skin conditions
atopic dermatitis and chronic spontaneous urticaria. 
    The drug did not help reduce symptoms of either conditions
across two mid-stage studies and failed to meet the main goals. 
    Shares of the drug developer were halted in premarket
trading. 
    
    

 (Reporting by Sneha  S K; Editing by Sonia Cheema)
 ((Sneha.SK@thomsonreuters.com;))