Cassava Sciences appoints new SVP of Clinical Development

AUSTIN, Texas - Cassava Sciences, Inc. (NASDAQ: SAVA), a biotech firm specializing in treatments for central nervous system disorders, announced today the upcoming retirement of its Chief Medical Officer, James W. Kupiec, MD, effective May 9, 2025. According to InvestingPro data, the company maintains a strong liquidity position with a current ratio of 11.6, though it faces challenges with rapid cash burn. The stock, currently trading near its 52-week low, has seen significant volatility with a beta of -1.48. Concurrently, the company has appointed Jack Moore, PhD, as the new Senior Vice President of Clinical Development, starting April 28, 2025.

Dr. Kupiec, who has been instrumental in guiding Cassava’s clinical trial programs, especially in Alzheimer’s disease research, will be retiring after a distinguished career. Rick Barry, Cassava’s CEO, expressed gratitude for Dr. Kupiec’s dedication to patient care and his significant contributions to the scientific community.

Dr. Moore will assume his role at the end of April, bringing with him a wealth of experience from his previous positions at Alector Inc., Janssen Pharmaceutica, Novartis Pharmaceuticals Corporation, and Celgene Corporation. His expertise spans across various CNS and neurodegenerative diseases, including Alzheimer’s disease, multiple sclerosis, and amyotrophic lateral sclerosis.

In his new capacity, Dr. Moore will focus on advancing the clinical evaluation of Cassava’s investigational drug, simufilam, exploring its potential for treating tuberous sclerosis complex (TSC)-related epilepsy, among other indications. His responsibilities will include identifying potential clinical collaborators and study sites, and engaging with patient advocacy groups.

Cassava Sciences is committed to the development of novel treatments for CNS disorders, with simufilam being a key investigational compound in their portfolio. The company’s efforts in drug development for TSC-related epilepsy and other CNS disorders are ongoing. With a market capitalization of $70 million and an Altman Z-Score of 6.96 indicating financial stability, the company faces near-term challenges reflected in its negative EBITDA of -$140 million over the last twelve months.

This news is based on a press release statement from Cassava Sciences.

In other recent news, Cassava Sciences has announced the termination of its Alzheimer’s treatment development program following unsuccessful trials. The company’s Phase 3 REFOCUS-ALZ study of simufilam failed to meet any primary, secondary, or exploratory biomarker endpoints, leading to the decision to halt the program by the end of the second quarter of 2025. Despite this setback, Cassava Sciences concluded fiscal year 2024 with $128.6 million in cash, with projections suggesting a decrease in cash burn due to the program’s discontinuation. Analysts from H.C. Wainwright and Rodman & Renshaw have maintained their Neutral and Sell ratings, respectively, with a $2.00 price target for the company’s stock. The analysts highlighted the drug’s failure to demonstrate efficacy in treating mild-to-moderate Alzheimer’s disease, despite a favorable safety profile.

Additionally, Cassava Sciences has revised its executive compensation plan following a court-approved settlement. The changes to the 2020 Cash Incentive Bonus Plan now require FDA approval of simufilam for any indication, barring a merger, before any bonus payouts to top executives. The updated plan also stipulates that bonuses will only be distributed if the company is involved in a merger or has sufficient cash reserves. These developments provide investors with critical insights into Cassava Sciences’ current position and strategic direction.

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