Acutus Medical to cut 65% of workforce, focus on Medtronic contracts (AFIB)
Wolterk
Acutus Medical (NASDAQ:AFIB) said that it was cutting its workforce by 65% as part of a corporate restructuring aimed at transforming the company into a contract manufacturing business.
The company said that it was shifting its business model “to solely support the manufacturing and distribution of Medtronic’s (MDT) left-heart access products and to capture the value associated with potential earn-out payments from Medtronic.”
As a result of the restructuring, Acutus will wind down its EP mapping and ablation operations. The company plans to support procedures involving its AcQMap product with a small team of therapy managers through Nov. 30.
Acutus expects to complete the restructuring in Q1 2024. It added that as of Sept. 30, it had $45.5M in cash and equivalents. After the restructuring is completed, the company expects that distribution revenue from Medtronic products, cash on hand and future earn-outs will be sufficient to service its debt and support its remaining operations.
