GenSight is facing another setback and a dwindling cash pile at an unfortunate time. A market downturn has made it difficult for drug developers to raise money by selling shares. For GenSight to continue its clinical work, it will likely need more time than its current financial runway will provide. Executives are also looking at other ways of “significantly reducing its operating cash burn in 2023.”
As an acquisition target, GenSight and its $37 million market capitalization would make an inexpensive purchase. But any prospective buyer would have to take a risk on a gene therapy that has faced numerous setbacks in its path toward approval.
