With dwindling cash, no partner and a Phase 2 ready drug for migraine, TorreyPines Therapeutics is getting left behind in the current economic crisis. The company announced today they will axe its remaining employees (ten to be exact) and be left with three people: its CEO, CFO and General Counsel. The reduction will provide its board of directors additional time to evaluate its alternatives, “including a possible sale of the company.”

Here was CEO Evelyn Graham’s take:

“It was a very difficult decision to dismiss these talented and dedicated individuals who have contributed significantly to TorreyPines. We deeply appreciate their insights and hard work and wish them all well. While the workforce reduction is a difficult step, we believe it is appropriate at this time in order to provide us with the best opportunity to complete a strategic transaction.”

TorreyPines said the axes would come with a $200,000 severance charge giving each worker $20,000 as they leave the building. The company ended 2008 with $10.9M in cash and a loss of $22.8M on $6.1M in revenues. The lead drug is NGX426, an AMPA/kainate-type glutamate receptor antagonist, which is ready for Phase 2 trials in acute migraine.

The pain continues…

Image from mjtaiwan

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