Sarepta Therapeutics said Wednesday that the company will lay off 500 employees and add serious warnings to the label of its muscle disorder gene therapy Elevidys due to the recent deaths of two patients taking the drug. The US Food and Drug Administration asked Sarepta to include the most serious warning in the “black box” warning that people with Duchenne muscular dystrophy may experience acute liver damage and liver failure if they are able to walk. Shares of Sarepta jumped 33% in after-hours trading, as the company also said its restructuring efforts would reduce annual costs by around $400 million in 2026.

Sarepta Therapeutics said Wednesday that the company will lay off 500 employees and add serious warnings to the label of its muscle disorder gene therapy Elevidys due to the recent deaths of two patients taking the drug. The US Food and Drug Administration asked Sarepta to include the most serious warning in the “black box” warning that people with Duchenne muscular dystrophy may experience acute liver damage and liver failure if they are able to walk. Shares of Sarepta jumped 33% in after-hours trading, as the company also said its restructuring efforts would reduce annual costs by around $400 million in 2026.