Egalet Corp. is reducing its workforce, excluding the sales team, by nearly 40% as part of an effort to prioritize projects.
With the elimination of certain other expenditures and other non-recurring expenses, Egalet expects total costs and expenses to be between $55 million and $60 million in 2018, a 35% reduction from what it expects in 2017.
The company said that as of June 30 it had cash, restricted cash and marketable securities totaling $87.9 million, excluding about $28.6 million in net proceeds from Egalet's July 6 public offering of common stock and warrants. Egalet expects its existing cash, cash equivalents and marketable securities to be able to fund operations into 2020.
President and CEO Bob Radie said that although Egalet "had to make some tough decisions, we believe these are the right steps to support our commercial focus."