SQI Realigns Business and Reduces Operating Expenses
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As part of this realignment the Company has reduced its workforce by 14 positions leaving a total workforce of 36 employees.
"We greatly appreciate the efforts of the employees affected by today's announcement and thank them for their significant contributions to SQI," said Claude Ricks, SQI's President and Chief Executive Officer. "This realignment strengthens our financial position by focusing our resources on the prioritized programs that we believe have the greatest potential to deliver value. As part of our business realignment we intend to focus on three key areas including: in vitro diagnostic ("IVD") products in production; completing regulatory filings for later stage quantitative multiplexed products in development; and converting several of the many current prospects for our Diagnostic Tools and Services offerings in order to generate near term revenues."
The Company believes there to be significant opportunities to close CustomPlex development and commercial agreements and that if successful would create revenue streams from customers who have "single-plex" diagnostic tests and who are seeking to multiplex this content using SQI's multiplexed product development, commercial diagnostic production, and SQiDworks and SQiDLITE automated analysers.
The Company will continue to serve its core IVD business and is committed to delivering the highest quality IVD products to its customers. SQI will continue to develop and launch new multiplexed products for the autoimmune diagnostic market and will reduce the number of simultaneous products under development. Late-stage IVD programs will be the priority and the Company will concentrate on delivering its Quantitative Celiac 6-plex for regulatory submissions in the USA, Canada and in the EU. Following this filing the Company plans to focus on our products to aid in the diagnosis of vasculitis, currently in late-stage development and subsequently lupus, currently at the end of early-stage development. The completion of the Company's second generation SQiDLITE platform will also be continued to support the CustomPlex business.
"We believe that the strategic realignment to the perceived needs of our customers will provide SQI a more sustainable cost structure," said Mr. Ricks. "Management believes that the steps taken today will preserve the resources required to support existing customer demands, allow us to complete the final development and regulatory submission of Celiac 6-plex, as well as the subsequent completion of our diagnostic product for vasculitis, and to take on key near-term revenue producing CustomPlex projects."
