Helicos Restructures to Focus on Diagnostics
Helicos reported cumulative orders for 10 Helicos Genetic Analysis Systems as of March 31, as well as four additional installations. Revenue has been recognized on only two sales, but the company has shipped seven units, but they have not met its revenue recognition requirements.
Cambridge, MA 5/17/10; Washington, DC 5/17/10—DNA sequencer provider Helicos BioSciences has announced a restructuring plan and strategic shift. The company will now focus solely on molecular diagnostics and has exited the genetic research market. The operational restructuring eliminated 40 positions, or half of the company’s workforce, during the second quarter. “In particular, our technology’s ability to sequence DNA and RNA directly is well positioned for applications in molecular diagnostics, as it provides a direct path from patient specimen to result, and minimizes sample preparation costs,” said Helicos President and CEO Ron Lowy. Helicos plans to continue support its installed base. The company estimates annual cost savings of $6.8 million as a result of the restructuring.
