Cidara Therapeutics is implementing a strategic shift by reducing its workforce by approximately 30%, which equates to 20 positions, to concentrate resources on advancing its influenza prevention therapy, CD388. This move comes as the company prepares to initiate a Phase IIb trial of CD388 for the prevention of influenza A and B during the Northern Hemisphere's flu season. The restructuring is projected to cost Cidara $1.2 million in severance and benefit payments and is expected to be completed by November 1, 2024.
CD388: A Focus on Influenza Prevention
CD388, an influenza prevention therapy, had its rights reacquired by Cidara from Johnson & Johnson (J&J) for $85 million in April 2024. This followed J&J's decision to deprioritize the drug's development. While Cidara now bears the full responsibility for CD388's development and marketing costs, J&J remains eligible for milestone-based payments. The US Food and Drug Administration (FDA) granted CD388 fast track designation in June 2023, underscoring its potential to address an unmet need in influenza prevention.
CD388 has undergone evaluation in two Phase I studies (NCT05285137 and NCT05619536) and one Phase IIa trial (NCT05523089). Data from the Phase IIa trial indicated a numerical decrease in influenza virus replication following a single dose of CD388; however, this reduction did not reach statistical significance. Additionally, the CD388 treatment group showed reduced influenza incidence rates compared to the placebo arm, but this difference was also not statistically significant.
Strategic Measures and Pipeline Prioritization
In addition to the workforce reduction, Cidara has undertaken several strategic measures to bolster its financial position. These include the sale of its rezafungin program to Mundipharma and a $240 million private investment in a public equity financing deal. These efforts were intended to support the Phase IIb trial of CD388.
Cidara's pipeline also includes cancer therapeutics, with CBO421 being the most advanced candidate in this area. The company received investigational new drug (IND) clearance in July 2024 to initiate a Phase I trial for CBO421 in solid tumors. However, Cidara's SEC filing indicates that it "does not currently plan to initiate clinical trials for any other product candidate," signaling a clear prioritization of the CD388 influenza prevention program.
