Indivior PLC (LON:INDV) said it is cutting jobs and reducing discretionary spending to save money as its further shifts its emphasis away from its Suboxone Film anti-opioid-addiction product.
The reorganisation will see a shift towards the US sales functions to focus on the 'organised health system' for its Sublocade monthly anti-opioid-addiction injection and its Perseris treatment for the treatment of schizophrenia.
READ: Indivior soars as it reaches settlement with US authorities over Suboxone lawsuit
This includes hiring and redirecting some employees from other parts of the business.
Group performance during the third quarter has been in-line with the 'planning assumptions' given at its interim results in July, apart from Suboxone performing better than expected.
The company, which was spun out of Reckitt Benckiser in 2014, said it was also going to focus more research & development on “post-marketing studies” to support these two products, as well as on its early-stage pipeline assets.
Within the pipeline, the priorities are INDV-2000, another potential treatment for opioid use disorder, and INDV-1000, a potential treatment of alcohol use disorder.
As well as streamlining certain corporate functions, reduced discretionary spending will include suspending bonus increases and lowering third-party expenditure.
Indivior, which has operations in Slough, England and Richmond, Virginia, USA, expects to cut its cost base by US$60-70mln in 2021.
Chief executive Mark Crossley said: “We are taking the right strategic actions on organizational focus and cost management to better align our capabilities and resources with the group's near- and medium-term priorities, while also supporting our long-term growth ambitions.”