Biocept Inc (NASDAQ:BIOC) told investors it has commenced a process to explore and evaluate strategic alternatives to enhance shareholder value.
The San Diego-based provider of molecular diagnostic assays, products and services said it has engaged EF Hutton, a division of Benchmark Investments Inc, as its financial advisor to assist in the process.
Potential strategic alternatives that may be explored or evaluated as part of the process include an acquisition, merger, reverse merger, other business combination, sales of assets, licensing or other strategic transactions involving the company, it said, adding there can be no assurance of a successful outcome from these efforts, or of the form or timing of any such outcome.
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“We remain excited by the potential of CNSide as a first-in-class cerebrospinal fluid assay for patients with central nervous system metastasis,” Biocept’s chairman, interim president and CEO Samuel Riccitelli said in a statement.
“However, we must preserve our remaining resources to extend our cash runway to better explore strategic alternatives that can benefit shareholders. We plan to continue to explore a variety of opportunities to advance this assay," he added.
In connection with the evaluation of strategic alternatives and in order to extend and maximize its resources, Biocept said it is implementing a restructuring plan that includes reducing staff by around 35%. The company is projecting a year-end 2022 cash balance of about $13 million.
The company said it does not intend to make any further disclosures regarding the strategic review process unless and until a specific course of action is approved by its board of directors or until the company otherwise determines that further disclosure is appropriate.
Biocept develops and commercializes molecular diagnostic assays that provide physicians with clinically actionable information for treating and monitoring patients diagnosed with a variety of cancers.
Contact the author at stephen.gunnion@proactiveinvestors.com