(Reuters) - NuPathe Inc PATH.O said it would cut half of its workforce to reduce costs and focus on the regulatory approval of its experimental migraine patch.
The company said it will reduce expenses related to the marketing of the pain patch and on earlier-stage drug candidates.
NuPathe has 37 employees, according to Thomson Reuters data.
It also plans to delay the application for its experimental treatment for schizophrenia and bipolar disorder until it finds a partner.
NuPathe is trying to raise about $28 million in a proposed financing and expects the cost cut initiatives, along with the proceeds, to be sufficient to fund operations into the fourth quarter of 2013.
The company, which has a market capitalization of about $55 million, had cash and cash equivalents of $7.5 million as of June 30.
In July, the U.S. Food and Drug Administration accepted a resubmission of the company’s approval application for the migraine patch, called NP101.
NuPathe shares closed at $3.71 on Monday on the Nasdaq.
Reporting by Esha Dey in Bangalore; Editing by Roshni Menon