Core Insights - Leap Therapeutics announced a significant workforce reduction, laying off 75% of its employees and terminating its only ongoing clinical trial, reflecting the survival pressures in the biotech industry [1][2][5] Group 1: Workforce Reduction - The company initially planned to cut 50% of its workforce but escalated this to 75% within a month due to urgent financial needs [1] - As of March 31, Leap had $32.7 million in bank deposits, with the layoffs expected to incur approximately $3.2 million in severance costs [1] - The layoffs will severely impact the research and development team, which previously consisted of 41 out of 52 full-time employees [1] Group 2: Clinical Trial Termination - Leap decided to terminate the Phase II DeFianCe clinical trial for its DKK1 antibody drug, sirexatamab, which was aimed at treating colorectal cancer [1][2] - Despite reporting a total response rate (ORR) of 33% for sirexatamab compared to 20.2% for the placebo, the company cited the need for further analysis to achieve statistically significant benefits [2] - The CEO indicated that the decision to terminate the trial was influenced by the current market environment, marking a significant shift in the company's R&D strategy [2][5] Group 3: R&D Pipeline and Market Response - The development of sirexatamab has faced multiple setbacks, including the termination of its combination therapy with another drug for gastric cancer earlier this year [3] - The company's stock price has fallen below $1, reflecting investor concerns over its shrinking R&D pipeline [5] - Leap is exploring strategic alternatives, including potential sales or partnerships related to sirexatamab and another preclinical drug, FL-501 [5]