Vedanta Biosciences has made significant staff reductions to prioritize the development of its oral drug candidate VE303, which is in Phase III trials for recurrent Clostridioides difficile infection (rCDI). The company did not specify the number of layoffs, but based on previous figures and BioSpace calculations, it may have reduced its workforce from about 92 employees. This follows earlier layoffs in August 2025 when the headcount dropped from 115.
A former Vedanta employee told BioSpace that the layoffs were due to a lack of funding. According to this source, company executives are currently seeking additional funds to complete the ongoing Phase III trial of VE303. The former employee added that half of Vedanta's staff were laid off while another 45% were furloughed, with the possibility of returning if fundraising efforts succeed.
Employees learned about these changes at a meeting on January 8, with terminations effective January 9.
In a statement provided to BioSpace, Vedanta said: “The departing team members are exceptional professionals who we thank deeply for their contributions and who we will support in their search for their next roles. We are laser-focused on progressing VE303, which is supported by strong Phase 2 data we believe represent potential best-in-disease activity and an opportunity to improve care for the hundreds of thousands of people with rCDI worldwide.”
The company did not comment further on questions regarding funding or details about the recent layoffs.
In August 2025, CEO Bernat Olle had previously announced via LinkedIn—later removed—that Vedanta was letting go of 20% of its workforce following a failed Phase II study for another candidate, VE202, in ulcerative colitis. He clarified to Endpoints News that this round affected 23 employees.
At that time, Vedanta disclosed that VE202 did not meet its primary endpoint in endoscopic response. Since then, no new press releases have been published on its website. In January 2025, however, Vedanta reported positive additional Phase II results for VE303; higher doses were well tolerated and showed an over 80% reduction in CDI recurrence compared to placebo.
