Redx Pharma extends cash runway into July

(Sharecast News) - Drug discovery and development company Redx Pharma updated the market on its ongoing plans to strengthen its balance sheet on Friday, with its board reiterating its commitment to strengthening the balance sheet in order to extend the cash runway beyond the second quarter of 2019, as it initially announced in November.The AIM-traded firm said that since then, a number of management actions, coupled with the previously-announced receipt of a loan repayment, had extended the cash runway into July.Additionally, in recognition of the need to conserve cash, the group said it had initiated "specific measures" to reduce its operational cost base.The board said it was looking to further strengthen the group's short-term financial position through two specific initiatives - short-term convertible debt financing, and potential value realisation of the pan-RAF research programme via out-licensing."The board continues to be in active discussions with shareholders and third-party healthcare specialist investors regarding longer-term funding of the group," the directors of Redx Pharma said in their statement."The board is greatly encouraged by the advanced state and positive nature of these various initiatives, although more time is required to conclude them and there is no guarantee that any of them will be concluded."Further announcements will be made in due course."