Foghorn and Lilly halt FHD-909 program, company cuts 40% of workforce

Foghorn Therapeutics Inc. said on October 1, 2026 that it and Eli Lilly and Company will not move FHD-909 (LY4050784) forward into the clinical expansion phase of its Phase 1 dose escalation trial, based on a review of the trial's clinical data. The decision followed Foghorn and Lilly's review of clinical data from the Phase 1 dose escalation trial of FHD-909.¹ The companies also said they will not advance the Selective SMARCA2 degrader program under the collaboration, and do not anticipate further joint activities.¹

FHD-909 was developed under the companies' collaboration agreement. Foghorn said further collaboration activities under its agreement with Lilly are not anticipated.¹ According to Foghorn, FHD-909 is an orally available small molecule designed to selectively inhibit SMARCA2 while sparing its related protein SMARCA4, both of which Foghorn describes as part of the BAF complex within the chromatin regulatory system.

CEO Adrian Gottschalk said the companies developed a drug that selectively hit the SMARCA2 target with a favorable safety profile at exposures exceeding preclinical targets, but the SMARCA2/4 synthetic lethality biology did not translate into sufficient efficacy to continue the program.¹

Following the decision, Foghorn's board approved a reprioritization on September 30, 2026. The board approved the move to let the company concentrate on its selective EP300 degrader, its immunology and inflammation asset, its selective CBP degrader, its induced proximity platform, and other proprietary programs.¹ The company is cutting its workforce by about 40%, with the reduction expected to be substantially complete in the fourth quarter of 2026.¹ Afterward, Foghorn expects to have approximately 65 full-time employees.¹

Foghorn estimates it will incur aggregate charges of about $2.3 million tied to these changes, mostly one-time severance and benefit costs expected in the fourth quarter of 2026.¹ The company said the restructuring is expected to extend its cash runway into the second half of 2029.¹