| Item 2.05 | Costs Associated with Exit or Disposal Activities. |
On March 23 2023, Better Therapeutics, Inc. (the “Company”) announced a reduction in its workforce (the “Workforce Reduction”) of approximately 35% of its employees as part of a cost reduction initiative to improve its cash runway and focus on the long-term success of the company. The Company will complete this Workforce Reduction on March 24, 2023. The Company estimates that it will incur approximately $400 thousand in cash-based expenses related to severance and benefits in the second quarter of 2023.
| Item 7.01 | Regulation FD Disclosure. |
On March 23, 2023, Frank Karbe, the Company’s Chief Executive Officer, sent an email to the Company’s employees announcing the Workforce Reduction. An excerpt from the email is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein.
The information in this Item 7.01 and Exhibit 99.1 attached hereto is intended to be furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.
Forward-Looking Statements
Certain statements made in this Current Report on Form 8-K are “forward-looking statements” within the meaning of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words such as “plan,” “believe,” “expect,” “anticipate,” “intend,” “outlook,” “estimate,” “forecast,” “project,” “continue,” “could,” “may,” “might,” “possible,” “potential,” “predict,” “should,” “would” and other similar words and expressions, but the absence of these words does not mean that a statement is not forward-looking. The forward-looking statements in this Current Report on Form 8-K include, but are not limited to, statements regarding expectations related to the benefits and long-term success of the Workforce Reduction and the Company’s strategy and prospects, the timing of completion of the Workforce Reduction and estimates of expenses related to the Workforce Reduction, plans and expectations regarding cost-saving measures and the advancement of the Company’s product candidate, including its commercialization, if approved, and expectations related to the potential benefits of the Company’s product candidate and digital therapeutics platform, among others. These forward-looking statements are based on the current expectations of the management of the Company and are inherently subject to uncertainties and changes in circumstances and their potential effects and speak only as of the date of such statement. There can be no assurance that future developments will be those that have been anticipated. These forward-looking statements involve a number of risks, uncertainties or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements including: risks related to the Company’s business, such as the willingness of the U.S. Food and Drug Administration to authorize prescription digital therapeutics (“PDTs”) for commercial distribution and insurance companies to reimburse their use, market acceptance of PDTs, the risk that the results of previously conducted studies will not be repeated or observed in ongoing or future studies involving the Company’s product candidates and other risks and uncertainties included under the heading “Risk Factors” in the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2022, filed with the Securities and Exchange Commission (“SEC”) on November 14, 2022, and those that are included in any of the Company’s subsequent filings with the SEC.
| Item 9.01 | Financial Statements and Exhibits. |
(d) Exhibits
