Jasper Therapeutics cuts workforce by 50% to focus on urticaria programs

REDWOOD CITY, Calif. - Jasper Therapeutics, Inc. (NASDAQ:JSPR) announced Wednesday a corporate reorganization that includes cutting approximately 50% of its workforce as the clinical-stage biotechnology company narrows its focus to briquilimab development for chronic urticaria. The announcement comes amid challenging market conditions for the company, whose stock has declined nearly 86% year-to-date according to InvestingPro data.

As part of the restructuring, Chief Medical Officer Edwin Tucker will depart effective August 1, 2025. Daniel Adelman, a member of Jasper’s Scientific Advisory Board, will take over as Acting Chief Medical Officer.

The company is halting all other clinical and preclinical programs, including the ETESIAN study in asthma, the SCID study, and ongoing investigator-sponsored studies, to concentrate resources on its chronic urticaria programs.

"While we are taking steps to significantly streamline our operations, we remain committed to the development of briquilimab in chronic urticaria, where we have seen rapid, deep and durable responses along with a favorable safety profile in both CSU and CIndU," said Ronald Martell, President and CEO of Jasper Therapeutics.

Jasper plans to share additional data from its BEACON study and open label extension later this year. The company will focus on completing the BEACON, SPOTLIGHT, and open label extension studies for briquilimab, a novel antibody therapy targeting KIT (CD117) to address mast cell driven diseases.

The reorganization aims to extend the company’s cash runway while maintaining progress on its prioritized programs. Jasper no longer plans to initiate additional mast cell focused clinical development programs this year. InvestingPro data shows the company maintains a healthy current ratio of 4.31, with more cash than debt on its balance sheet, though analysts note it’s quickly burning through available cash. The company’s market capitalization currently stands at approximately $45 million.

Briquilimab is an aglycosylated monoclonal antibody that blocks stem cell factor from binding to the KIT receptor, disrupting mast cell survival signals and leading to their depletion.

The information in this article is based on a company press release statement. According to InvestingPro analysis, Jasper Therapeutics appears undervalued at current levels, though investors should note the company’s weak overall financial health score. For deeper insights into JSPR’s valuation and 12+ additional ProTips, including detailed financial analysis and future growth prospects, check out the comprehensive Pro Research Report available on InvestingPro.

In other recent news, Jasper Therapeutics has experienced a series of developments surrounding its chronic spontaneous urticaria (CSU) treatment. The company reported delays in its clinical trial timeline due to issues with a drug product lot, leading to adjustments in its strategic focus. TD Cowen reiterated its Buy rating on Jasper Therapeutics, highlighting impressive efficacy data, with 89% of patients in certain dosing cohorts achieving a complete response. However, Citizens JMP reduced its price target for the company from $70 to $12, citing acute financing concerns and program discontinuations. BMO Capital downgraded the stock from Outperform to Market Perform, expressing concerns about data interpretation due to manufacturing issues. Evercore ISI also lowered its price target from $50 to $20 but maintained an Outperform rating, anticipating future data to support the viability of the dosing regimen. Cantor Fitzgerald downgraded the stock to Neutral following disappointing trial updates and uncertainty around clinical trial execution. Jasper has decided to pause work on other indications and focus on urticaria, implementing cost-cutting measures to extend its financial runway.

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