TherapeuticsMD lays off entire workforce after licensing products out for $153M

It's looking like the end of the road for women’s health care company TherapeuticsMD.

After the company licensed out its products to Mayne Pharma for $153 million earlier this week, the company is gearing up to lay off its workforce of 212 people, according to a notice filed in Florida. 

TherapeuticsMD's “reduction in force” began Tuesday and goes through Dec. 23, the Worker Adjustment and Retraining Notification filing says. The cuts include 79 workers who are stationed at the company’s Boca Raton, Florida, headquarters as well as "all 133 other employees" at the company, the filing says. The cuts include executive roles such as TherapeuticsMD's co-CEOs.

The company did not immediately respond to Fierce Pharma’s request for comment on the layoffs.

The layoffs follow TherapeuticsMD's decision to license all of its products to Mayne Pharma for $153 million. Under that deal, unveiled this week, TherapeuticsMD also provided “certain assets” that will allow Mayne to commercialize the drugs, which include vulvar and vaginal atrophy drug Imvexxy, menopause relief drug Bijuva and the company’s brands of prenatal vitamins.

The deal will transform TherapeuticsMD into a "pharmaceutical royalty company," TherapeuticsMD said.

Along with the upfront cash payment of $153 million from Mayne, TherapeuticsMD will receive up to $72.6 million in potential royalties and milestones.

The layoffs also follows a failed attempt by the pharmaceutical company to sell itself. 

This summer, the company was close to being acquired by Athene Merger, an affiliate of private equity firm EW Healthcare Partners. TherapeuticsMD’s board of directors agreed to the $177 million all-cash deal in May, but, just two months after the agreement was revealed, it fell through.

Athene Merger didn’t acquire the required majority of shares of TherapeuticsMD by deadline, leaving the offer to expire. The company said in its statement at the time that it would maintain normal operations.