Syros Pharmaceuticals Terminates Master Collaboration Agreement with QIAGEN and Faces Consequences from SELECT-MDS-1 Phase 3 Trial

Syros Pharmaceuticals, Inc. recently took significant actions in response to the outcomes of its SELECT-MDS-1 Phase 3 trial involving tamibarotene. On November 13, 2024, the company informed QIAGEN Manchester Limited about the termination of their Master Collaboration Agreement dated March 7, 2022. The decision followed the trial’s failure to meet its primary endpoint, which was the complete response rate as disclosed in a recent Form 8-K filing submitted to the U.S. Securities and Exchange Commission. The termination of the partnership, effective 90 days from the notice, will incur wind-down costs and final payments to QIAGEN.

Moreover, an event of default arose on November 12, 2024, under the Loan Agreement between Syros and Oxford Finance LLC due to the trial results default. Following this default, Oxford demanded the immediate repayment of about $43.7 million. In response, Syros made a partial payment of $33.5 million and is in the process of negotiating a forbearance agreement with Oxford to address the situation effectively.

As part of its cost-reduction strategy after the trial results, Syros announced a significant reduction in workforce by approximately 94% on November 12, 2024. The reduction aims to curtail ongoing operating expenses and enhance stakeholder value, with a completion target set for December 6, 2024.

The company also witnessed a series of resignations and terminations among its executive team. Notably, several board members resigned, and following the reduction in workforce, Conley Chee, Jason Haas, and Dr. David Roth had their employment terminated without cause. To fill the vacuum, Gerald Quirk, Esq., currently serving as Chief Legal & Compliance Officer and Chief Business Officer, was promoted to President and Chief Executive Officer effective November 22, 2024.

Gerald Quirk, with a rich background in the company, having served in various senior roles since 2016, including Chief Legal Officer and Chief Operations Officer, now leads Syros. These significant changes mark a pivotal moment for the company amidst restructuring efforts and strategic realignments.

Despite these transformative moves, Syros Pharmaceuticals anticipates challenges ahead and intends to navigate them diligently. The company remains focused on its commitment to advancing its mission and optimizing shareholder value in the competitive pharmaceutical landscape.

This detailed response from Syros Pharmaceuticals reflects the company’s proactive approach to adverse results and its strategic maneuvers to ensure operational continuity and long-term sustainability in the industry.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Syros Pharmaceuticals’s 8K filing here.

About Syros Pharmaceuticals

Syros Pharmaceuticals, Inc, a biopharmaceutical company, focuses on the development of treatment for hematologic malignancies. The company's lead product candidates are Tamibarotene, a selective retinoic acid receptor alpha agonist, which is in Phase III clinical trial for genomically defined subset of patients with myelodysplastic syndrome and Phase II clinical trial for patients with acute myeloid leukemia; SY-2101, a novel oral form of arsenic trioxide for treating patients with acute promyelocytic leukemia; and SY-5609, a cyclin-dependent kinase 7 inhibitor, which is in a Phase I clinical trial in patients with select advanced solid tumors.