Shares of Neon Therapeutics rise on restructuring plans
Shares of Neon Therapeutics were up 19% in after-hours trading Wednesday after the company announced a corporate restructuring that includes cutting 24% of its workforce. Neon, which employs about 100 workers, now plans to focus on developing T-cell therapies and is halting new spending on its cancer vaccine programs. The Cambridge, Mass.-based biotech said it expects $35 million in annualized cost savings, and severance and restructuring charges will result in pre-tax charges of $1.5 million. Shares of Neon have tumbled 71% year-to-date, while the S&P 500 is up 24%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.