Shares of biotechnology company Amyris (NASDAQ:AMRS) have tanked nearly 17% at the time of writing today after it initiated a transformation program to improve its capital structure, liquidity, and costs.
The company’s Board has roped in the Business Recovery Services unit of PricewaterhouseCoopers (PwC) and set up a Restructuring Committee under this program. The development comes after Amyris undertook a strategic review of its cost structure and is now aiming for $250 million in planned cost reductions.
Additionally, the company has also entered into loan amendments with its principal secured lenders and in a secured term loan facility with Anesma Group. The move has resulted in $50 million being available to Amyris and it plans to use the funds for working capital and general corporate purposes.
Overall, the Street has a $1.88 consensus price target on Amyris alongside a Moderate Buy consensus rating.
Shares of the company have plummeted nearly 57% over the past six months while short interest in the stock still remains sky-high at nearly 22% at present.
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