Ladenburg, Germany–based Heidelberg Pharma is laying off 75% of its staff after the company failed to meet the conditions for a royalty payment. Without the $70 million that royalty would have netted, Heidelberg is downsizing to extend its runway and focus its pipeline. The company has 122 employees, according to a May press release, so up to 92 employees will be affected. Heidelberg did not specify what conditions it missed, but in a financing agreement with HealthCare Royalty, Royalty would pay $70 million upon FDA approval of TLX250-CDx, Heidelberg’s radiolabeled version of the antibody girentuximab for clear cell renal cell carcinoma.
