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MEI Pharma Inc. (MEIP-1.89%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing reveals that MEI Pharma has ceased clinical development of its drug candidate voruciclib following a strategic review initiated in July 2024. The company is exploring strategic alternatives, including potential transactions and an orderly wind down of operations.
For the three months ended December 31, 2024, MEI Pharma reported research and development expenses of $308,000, a significant decrease from $3.9 million in the same period the previous year. This reduction is attributed to the cessation of clinical studies and workforce reduction.
General and administrative expenses for the quarter were $3.1 million, down from $8.0 million in the previous year. The decrease is due to reduced payroll and legal expenses following the strategic review.
MEI Pharma reported other income of $774,000 for the quarter, which includes a gain from the sale of its ME-344 asset. This compares to $867,000 in other income for the same period last year.
For the six months ended December 31, 2024, MEI Pharma reported no revenue, compared to $65.3 million in the same period the previous year. The prior year's revenue was primarily from the terminated agreement with Kyowa Kirin Co., Ltd.
The company reported cash and cash equivalents of $23.7 million as of December 31, 2024. MEI Pharma anticipates that this cash balance will be sufficient to fund operations for at least the next 12 months.
MEI Pharma has also completed the sale of its ME-344 asset to Aardvark Therapeutics, Inc., receiving an initial payment of $0.5 million and potential future milestone payments.
The filing indicates that MEI Pharma continues to evaluate strategic alternatives and may consider out-licensing opportunities, mergers, or acquisitions to maximize asset value for stockholders.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the MEI Pharma Inc. quarterly 10-Q report dated February 12, 2025. To report an error, please email earnings@qz.com.