EyePoint is initiating a strategic review after duravyu failed another Phase 3 trial in wet age-related macular degeneration. Amid significant layoffs and trial terminations, the company is shifting attention to the asset’s potential in diabetic macular edema.
Following another disappointing readout for investigational tyrosine kinase inhibitor duravyu in wet age-related macular degeneration, EyePoint will undergo a strategic reprioritization that includes cutting about 53% of its workforce.
On Monday, EyePoint reported that in the topline readout from the Phase 3 Lucia trial, duravyu again failed to match Regeneron Pharmaceuticals’ approved wet AMD treatment Eylea. The Watertown, Massachusetts–based biotech is now ending the asset’s pivotal wet AMD trials early, the company said in a separate Monday announcement, and will focus resources on its late-stage program for duravyu in diabetic macular edema (DME).
EyePoint had 214 employees as of Feb. 27, according to an annual report, meaning the layoffs could affect 113 people.
Following the news, the biotech’s stock plummeted more than 80% at market open to 55 cents per share.
EyePoint first signaled problems for duravyu in August. In the Phase 3 Lugano trial, the candidate failed to meet the study’s primary endpoint of improving average change in vision after two years as compared to Eylea or an Eylea biosimilar—the current standard of care for wet AMD.
Monday’s readout showed that the Lucia trial had a similar outcome. Duravyu failed to meet its primary endpoint of statistical non-inferiority in mean change in best corrected visual acuity. The candidate did, however, meet key secondary endpoints, including superior reduction in treatment burden.
EyePoint plans to complete additional analyses of Lucia and pooled Phase 3 datasets to determine next steps for the candidate as a wet AMD treatment but is ending both pivotal trials early without completing a second year.
As to duravyu in DME, the company expects a pivotal Phase 3 readout for two trials during the fourth quarter. In the biotech’s announcement about the strategic reprioritization, President and CEO Jay Duker noted that the company is evaluating duravyu’s potential to offer a durable, long-term therapeutic option that safely reduces the overall injection burden for patients.
EyePoint expects most of its workforce reduction will take place during the fourth quarter and will be completed in the first half of 2027. The company estimates it will incur aggregate charges of about $9 million related to employee separation benefits.
The biotech had cash, cash equivalents and investments in marketable securities of $180.5 million as of June 30, according to its third quarter report. That number is down from $222.5 million as of March 31, according to its Q2 report.
