BEDMINSTER, N.J. and DUBLIN, Ireland, Oct 22, 2013 (GLOBE NEWSWIRE via COMTEX) -- Amarin Corporation plc AMRN -3.95% , a biopharmaceutical company focused on the commercialization and development of therapeutics to improve cardiovascular health, announced today plans to reduce operating expenses by eliminating approximately fifty percent of its staff positions worldwide following the recent recommendation of the U.S. Food and Drug Administration (FDA) Endocrinologic and Metabolic Drugs Advisory Committee against the potential Vascepa (icosapent ethyl) label expansion.
Amarin will continue its dialogue with FDA regarding the ANCHOR data. Given the outcome of the advisory committee meeting, Amarin feels this shift in staffing is the appropriate corporate action. Amarin is grateful to all employees for their significant efforts and contributions to the organization.
As part of the reduction in staffing the company will retain approximately half of its highest performing sales professionals in targeted geographical areas and pursue continued prescription growth of Vascepa in the current approved indication. This optimized team will cover the target base of physicians responsible for the vast majority of Vascepa prescription volume and growth since its launch in early 2013. With this optimization and resulting target base coverage, Amarin anticipates continued Vascepa revenue growth over time.
As of September 30, 2013, Amarin had cash, cash equivalents of approximately $226 million. Amarin anticipates approximately $3 million in restructuring expense in association with this reduction in staffing. The company currently expects its cash burn for 2014 to be less than $80 million. The company has no plans for raising additional capital at this time. Amarin intends to continue its evaluation of priorities, opportunities and savings opportunities, including clinical trial costs. The company plans to provide additional details of its future spending and operational expectations in connection with its upcoming quarterly report.
Amarin Corporation plc is a biopharmaceutical company focused on the commercialization and development of therapeutics to improve cardiovascular health. Amarin's product development program leverages its extensive experience in lipid science and the potential therapeutic benefits of polyunsaturated fatty acids. Vascepa (icosapent ethyl), Amarin's first FDA approved product, is a patented, ultra pure omega-3 fatty acid product comprising not less than 96% EPA. For more information about Vascepa visit www.vascepa.com. For more information about Amarin visit www.amarincorp.com.
This press release contains forward-looking statements, including statements about Amarin's pending ANCHOR Supplemental New Drug Application, anticipated sales force size and projected ability of its sales force to cover targeted physicians and grow revenues, anticipated payroll, restructuring and operating expenses, expectations for cash burn in 2014 and the company's current plan not to raise additional capital. These forward-looking statements are not promises or guarantees and involve substantial risks and uncertainties. In particular, the expenses associated with the reduction in force may be higher than expected due to litigation or otherwise and Amarin may not realize in full the expected benefit in reduced operating expenses. In addition, as a result in the reduction in force, which primarily affects Amarin's sales force, and the outcome of the Endocrinologic and Metabolic Drug Advisory Committee meeting recommending against Vascepa label expansion, Amarin's ability to maintain and grow revenue from sales of Vascepa in the current indication may be materially adversely affected. Among the factors that could cause actual results to differ materially from those described or projected herein include the following: uncertainties associated generally with FDA decisions and specifically information presented at the recent Endocrinologic and Metabolic Drug Advisory Committee meeting, retention of employees, predicting future sales, sales operations and operating expenses. A further list and description of these risks, uncertainties and other risks associated with an investment in Amarin can be found in Amarin's filings with the U.S. Securities and Exchange Commission, including its most recent Quarterly Report on Form 10-Q. Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Amarin undertakes no obligation to update or revise the information contained in this press release, whether as a result of new information, future events or circumstances or otherwise.
Availability of other information about Amarin
Investors and others should note that we communicate with our investors and the public using our company website (www.amarincorp.com), our investor relations website (http://www.amarincorp.com/investor-splash.html), including but not limited to investor presentations and investor FAQs, Securities and Exchange Commission filings, press releases, public conference calls and webcasts. The information that we post on these channels and websites could be deemed to be material information. As a result, we encourage investors, the media, and others interested in Amarin to review the information that we post on these channels, including our investor relations website, on a regular basis. This list of channels may be updated from time to time on our investor relations website and may include social media channels. The contents of our website or these channels, or any other website that may be accessed from our website or these channels, shall not be deemed incorporated by reference in any filing under the Securities Act of 1933.