0001140361-22-001369.txt : 20220111 0001140361-22-001369.hdr.sgml : 20220111 20220111165033 ACCESSION NUMBER: 0001140361-22-001369 CONFORMED SUBMISSION TYPE: 6-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20220111 FILED AS OF DATE: 20220111 DATE AS OF CHANGE: 20220111 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BeyondSpring Inc. CENTRAL INDEX KEY: 0001677940 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 463009483 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-38024 FILM NUMBER: 22524496 BUSINESS ADDRESS: STREET 1: 28 LIBERTY STREET STREET 2: 39TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10005 BUSINESS PHONE: 646-528-4184 MAIL ADDRESS: STREET 1: 28 LIBERTY STREET STREET 2: 39TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10005 6-K 1 brhc10032765_6k.htm 6-K
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 6-K
 
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the month of January 2022
 
Commission File No. 001-38024
 
BeyondSpring Inc.
28 Liberty Street, 39th Floor
New York, New York 10005
(Address of Principal Executive Offices)
 
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F: Form 20-F ☒ Form 40-F ☐
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
 
On January 11, 2022, BeyondSpring Inc. (the “Company”) issued a press release announcing a reduction in force (RIF), as the Company re-focuses its resources on extending its cash runway and preserving long-term sustainability in light of the recent complete response letter (CRL) from the U.S. Food and Drug Administration (FDA) for the New Drug Application seeking approval of plinabulin in combination with granulocyte colony-stimulating factor (G-CSF) for the prevention of chemotherapy-induced neutropenia (CIN). The Company will reduce its U.S. workforce by approximately 35% to preserve cash resources. All employees affected by the workforce reduction will be eligible to receive severance payments based on the applicable employee’s years of service with the Company and will have the ability to elect, at their own cost, continuation of group health insurance coverage for 18 months post-termination. Each affected employee’s eligibility for the severance benefits is contingent upon such employee’s execution of a separation agreement, which includes a general release of claims against the Company.

The Company anticipates the one-time severance-related charge, which represents the cash expenditures the Company expects to incur, associated with the workforce reduction to be approximately $1.0 million, with the majority to be paid by the first quarter of 2022. The severance-related charge is subject to a number of assumptions, and actual results may differ materially. The Company may also incur other charges or cash expenditures not currently contemplated due to events that may occur as a result of, or associated with, the workforce reduction.

To help ensure a smooth transition during these changes and to further retain the senior leadership necessary to grow the Company’s business, the Company proposed amendments (the “Amendments”) to the employment agreements between its subsidiary, BeyondSpring Pharmaceuticals, Inc., and each of Lan Huang, Ramon Mohanlal, Gordon Schooley, and Elizabeth Czerepak (each an “Executive” and collectively, the “Executives”). The Amendments will provide for severance benefits upon an Executive’s involuntary termination other than for death, disability or cause, or a voluntary resignation for good reason, in an amount equal to nine months of the respective Executive’s continued base salary plus a pro-rated bonus for the year of termination based on actual performance results. Ms. Czerepak’s employment agreement in its original form already provided for the nine-month severance. Pursuant to the Amendments, the Executives will be required to provide a three-months’ notice for their voluntary resignations.

This Report on Form 6-K is incorporated by reference into the Registration Statements on Form F-3, File No. 333-257639, File No. 333-249816 and File No. 333-234193, and the Registration Statements on Form S-8, File No. 333-216639 and File No. 333-240082, of the Company.

SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 
BeyondSpring Inc.
     
 
By:
/s/ Lan Huang
 
Name:
Lan Huang
 
Title:
Chairperson and Chief Executive Officer
Dated: January 11, 2022
 
Exhibit Index
 
Exhibit No.
Exhibit
Press Release


EX-99.1 2 brhc10032765_ex99-1.htm EXHIBIT 99.1
Exhibit 99.1

BeyondSpring Announces Organizational Streamlining

- Resources to be Focused on Highest Value Business Activities

- 35% Reduction in Workforce in the U.S. Implemented to Preserve Long-Term Sustainability

NEW YORK, January 11, 2022 – BeyondSpring Pharmaceuticals (the “Company” or “BeyondSpring”) (NASDAQ: BYSI), a global pharmaceutical company focused on the development of cancer therapeutics, today announced an organizational streamlining initiative focused on prioritizing the Company’s highest value business activities, extending its cash runway and preserving long-term sustainability.

As part of the reorganization, BeyondSpring is reducing its U.S. workforce by 35%, including reassignment of certain personnel to subsidiaries, which is expected to result in cost savings that will extend the cash runway.  The reorganization follows BeyondSpring’s receipt of a Complete Response Letter from the U.S. Food and Drug Administration for the New Drug Application (NDA) seeking approval of plinabulin in combination with granulocyte colony-stimulating factor for the prevention of chemotherapy-induced neutropenia (CIN) on November 30, 2021.

“The reorganization of BeyondSpring is a necessary step forward for the Company to deliver on its mission to develop innovative cancer therapies and improve clinical outcomes for patients who have high unmet medical needs globally,” said Dr. Lan Huang, BeyondSpring’s co-founder, chief executive officer and chairwoman. “This reorganization will enable BeyondSpring to reduce operating expenses and extend its cash runway. We express sincere appreciation to colleagues impacted by this decision, and thank our team members for their contributions.”

Going forward, BeyondSpring intends to prioritize the following clinical and regulatory activities:


 •
Continued advancement of the regulatory process of plinabulin in CIN in China and the U.S.

•
NDA filing and regulatory process of non-small cell lung cancer (NSCLC) in the U.S. and China

•
Advancement of immune-oncology (IO) trials with plinabulin in triple combination IO therapy in various cancers.

The Company remains committed to optimizing the value of the plinabulin franchise through further clinical development in areas of unmet medical need.

About BeyondSpring Pharmaceuticals
Headquartered in New York City, BeyondSpring is a global biopharmaceutical company focused on developing innovative cancer therapies to improve clinical outcomes for patients who have high unmet medical needs. BeyondSpring’s first-in-class lead asset, plinabulin, is being developed as a “pipeline in a drug” in various cancer indications as a direct anti-cancer agent and to prevent chemotherapy-induced neutropenia (CIN). The plinabulin and G-CSF combination for the prevention of CIN has demonstrated positive Phase 3 data. In the DUBLIN-3 study, a global, randomized, active controlled Phase 3 study, the plinabulin and docetaxel combination has met the primary endpoint of extending overall survival compared to docetaxel alone, in 2nd/3rd line NSCLC (EGFR wild type). Additionally, plinabulin is being broadly studied in combination with various immuno-oncology regimens that could boost the efficacy of PD-1/PD-L1 antibodies in seven different cancers. In addition to plinabulin, BeyondSpring’s pipeline includes three pre-clinical immuno-oncology assets and a subsidiary, SEED Therapeutics, which is leveraging a proprietary targeted protein degradation drug discovery platform.

Cautionary Note Regarding Forward-Looking Statements
This press release includes forward-looking statements that are not historical facts. Words such as “will,” “expect,” “anticipate,” “plan,” “believe,” “design,” “may,” “future,” “estimate,” “predict,” “objective,” “goal,” or variations thereof and variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements are based on BeyondSpring’s current knowledge and its present beliefs and expectations regarding possible future events and are subject to risks, uncertainties and assumptions. Actual results and the timing of events could differ materially from those anticipated in these forward-looking statements as a result of several factors including, but not limited to, difficulties raising the anticipated amount needed to finance the Company’s future operations on terms acceptable to the Company, if at all; unexpected results of clinical trials; delays or denial in regulatory approval process, results that do not meet the Company’s expectations regarding the potential safety, the ultimate efficacy or clinical utility of its product candidates; increased competition in the market; and other risks described in BeyondSpring’s most recent Form 20-F on file with the U.S. Securities and Exchange Commission. All forward-looking statements made herein speak only as of the date of this release and BeyondSpring undertakes no obligation to update publicly such forward-looking statements to reflect subsequent events or circumstances, except as otherwise required by law.

Investor Contact:
Ashley R. Robinson
LifeSci Advisors, LLC
+1 617-430-7577
arr@lifesciadvisors.com

Media Contact:
Darren Opland, Ph.D.
LifeSci Communications
+1 646-627-8387
darren@lifescicomms.com