Biogen Idec said this week that it's going to restructure the company to focus on developing neurology treatments as well as its portfolio of multiple sclerosis drugs.
The restructuring plan will end the company's R&D work in oncology and cardiovascular therapeutic areas to focus more on neurology, immunology, and hemophilia. Although Biogen says it will save $300 million annually, 650 jobs, or 13% of its workforce, will be cut.
The announcement was made four months after Biogen named George Scangos its new CEO in July, following the resignation of Jim Mullen.
The last time the company, which Xconomy says aims to be more "biotech-like," brought a product to market was in 2004. Tysabri, its multiple sclerosis treatment, was considered a key driver of growth in the company's third-quarter earnings report.