On February 19, 2023, the board of directors of EQRx approved a restructuring plan (the Plan) to further increase EQRx's operational efficiencies and streamline expenses, including an 18% decrease in headcount by the end of the first quarter of 2023 to approximately 300 employees, resulting from a reduction in force as well as not filling positions following departures. These efforts are expected to result in approximately $18.0 million in annualized cash savings. One-time payments associated with the reduction in force are expected to be approximately $4.0 million.

Each departing employee of EQRx has played an integral role in EQRx's commitment to develop and expand access to innovative medicines for some of the most prevalent disease areas, including cancer and immune-inflammatory conditions. EQRx would like to sincerely thank its departing employees for their hard work and dedication and wishes them well in their future endeavors. As the Plan is implemented, EQRx's management will re-evaluate the estimated costs set forth above and will finalize the estimated restructuring charge, consistent with generally accepted accounting principles.

The estimated costs that EQRx expects to incur in connection with the Plan are subject to a number of assumptions, and actual results may differ materially from these estimates. EQRx may also incur additional costs not currently contemplated due to events that may occur as a result of, or that are associated with, the Plan.