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Zafgen to scrap obesity drug, cut jobs

July 19 (Reuters) - Zafgen Inc said it was suspending the development of its obesity drug, beloranib, and reducing its workforce by about 34 percent, sending its shares tumbling 41.9 percent in extended trading on Tuesday.

In December, the U.S. Food and Drug Administration asked Zafgen to halt all tests on the drug after a second patient died from an artery blockage in the lung.

The company expects to incur a non-recurring charge of about $2.4 million in the third quarter related to the restructuring.

(Reporting by Arunima Banerjee in Bengaluru; Editing by Don Sebastian)