Artiva drops cell therapy after two patient deaths and cuts 94% of staff

what happened

Artiva Biotherapeutics said on Tuesday that it will stop developing its experimental cell therapy for certain autoimmune diseases. The decision follows the deaths of two patients enrolled in the trials. According to Reuters, the company's shares fell about 30% in premarket trading.

The drug AlloNK was being tested as a possible treatment for autoimmune conditions, including rheumatoid arthritis, in a mid-stage study. One patient suffered a fatal neurological event after treatment; the investigator and an independent safety panel judged it likely linked to complications from the chemotherapy agent fludarabine. A second patient died suddenly about two months after starting treatment, a death the investigator considered unrelated to AlloNK.

The company will also cut its workforce by about 94% and evaluate strategic alternatives. As of September 30, Artiva held about $319.1 million in cash, cash equivalents and investments, and as of December 31, 2025, it had 104 full-time employees, according to its annual filing.

why it matters

For markets, this is a story about one biotech company: its lead asset is gone, and its $319.1 million cash cushion now becomes the main resource as it weighs strategic options. The case highlights the risks of early-stage cell therapies, but it is unlikely to move the broader sector or indexes.

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