Apexigen, Inc., a clinical-stage company focused on developing innovative antibody-based therapeutics for the treatment of cancer with a focus on immuno-oncology, has engaged Ladenburg Thalmann & Co. Inc., to evaluate strategic alternatives for the company with the goal of maximizing stockholder value.

Apexigen will implement a corporate restructuring to extend its cash runway as it reviews and explores strategic alternatives. As part of the restructuring, the company plans to reduce its workforce by 55%. 

As part of this process, Apexigen will explore the potential for an acquisition, company sale, merger, divestiture of assets, licensing, or other strategic transactions.

The company said that there can be no assurance that the exploration of strategic alternatives will result in any agreements or transactions, or that, if completed, any agreements or transactions will be successful or on attractive terms.

Apexigen does not expect to disclose or provide an update concerning developments related to this process until the it enters into definitive agreements, or arrangements with respect to a transaction or otherwise determines that other disclosure is necessary or appropriate.

“I am incredibly proud of the progress that our team has made, highlighted by the impressive Phase 2 data from our lead program, sotigalimab, a potentially first-in-class and best-in-class CD40 agonist,” said Xiaodong Yang, CEO of Apexigen.

“While it was a difficult but prudent decision to reduce our workforce to focus on critical areas as we conduct this comprehensive review of strategic alternatives, we strongly believe this process will maximize stockholder value and the likelihood of sotigalimab’s successful development.”

Yang added: “I want to extend my sincere appreciation and gratitude to all of our colleagues for the foundational work that has brought us to this point, and for their dedication and service to Apexigen while striving to usher in the next generation of oncology therapeutics.”