CSL, an Australian pharmaceutical company, is undergoing a significant restructuring effort that includes laying off up to 15% of its workforce. The move aims to reduce R&D costs and spin out its vaccine subsidiary, Seqirus, into an independent company.
The company plans to implement initiatives to increase pipeline productivity, including consolidating its R&D footprint. This will enable it to focus on priority programs and developing new disease targets from internal and external sources.
CSL has previewed this move previously, stating that it aims to create a more optimal mix of internal capabilities and external partnerships to build and deliver its R&D pipeline. The company estimates that the layoffs will cost between $700 million and $770 million before taxes in the 2026 financial year.
As part of the restructuring, CSL will also unveil a new Portfolio Development and Commercialisation (PD&C) operating model that integrates its R&D, business development, and commercial teams. This move is expected to save the company between $500 million and $550 million a year over the next three years.
CSL Seqirus will be demerged into an independent company, which will list on the Australian Stock Exchange by the end of 2026. The company’s other subsidiaries, CSL Behring and CSL Vifor, will also undergo changes as part of the restructuring effort.
Source: https://www.fiercebiotech.com/biotech/csl-lay-15-workforce-cut-rd-costs-and-spin-out-vaccine-unit