Though expected to cost Invitae between $75 million and $100 million to carry out, the efforts are ultimately projected to save Invitae around $326 million per year.
Overseen by a newly appointed CEO, genetic testing company Invitae will lay off more than 1,000 employees as part of a year-long restructuring plan that’s expected to ultimately save the company hundreds of millions of dollars annually.
The San Francisco-based company’s board of directors approved the plan on July 16, according to a filing (PDF) this week with the U.S. Securities and Exchange Commission. The multi-pronged approach will see Invitae narrow the scope of its genetic testing and genomic management operations, reduce its physical footprint and make other potential cost-saving cuts throughout the business.
The restructuring is expected to be completed by the end of June 2023. Though expected to cost Invitae between $75 million to $100 million in cash to carry out—plus additional non-cash costs, which weren’t specified by the company—the efforts are ultimately forecasted to save Invitae around $326 million per year.