It is intended that the headcount will be reduced from 260 by approximately 15% during this year across the organization. Acambis has appointed a new chief executive officer Ian Garland who will replace Gordon Cameron in the role.
Acambis said the restructuring aims to increase the focus of its resources upon key programs and core operational capabilities, and significantly lower its cost base. Over the next two years Acambis intends to reduce its cost base by around 20%, with the majority of the cost savings initiatives being implemented in 2007.
The cash costs, all of which will be incurred in 2007, are expected to be around GBP3 million, which will it believes will be offset by the savings achieved during the year. Acambis said it expects that the cost base will decrease by approximately GBP7 million per annum, with the first full year savings being in 2008.
Acambis' research and development operations will now focus primarily on activities through to phase II clinical studies, although it may still complete phase III clinical studies in some cases. The reorganization is not expected to have any impact on its existing pipeline.