Trellus Health PLC (AIM:TRLS) shares dropped sharply in Tuesday's trade after it revealed its current cash runway extends as far as 'early December', and talks are ongoing for equity funding.
The company, in an operations update, told investors that the runway was extended to December following the implementation of cost-saving measures, and it now expects to reduce monthly cash burn to about $395,000.
Talks are progressing with two major contract research organisations (CROs), Trellus added.
One partnership is in late-stage contracting for a mid-stage clinical trial, while a second has granted Trellus preferred vendor status, and it expected that move will speed up future procurement and deal-making.
The company added that it expects to announce at least one new collaboration before the end of November.
Trellus also confirmed that equity fundraising discussions are ongoing, though no deal is yet assured.
"No other near-term strategic opportunities have been identified at this time and it is unlikely that any can be identified before early December," it said in Tuesday's statement.
In London, Trellus shares were down 20% changing hands at 0.6p, valuing the business at less than £1 million.