Stamford-based Cara Therapeutics Inc. (NASDAQ: CARA) is laying off part of its workforce in an effort to reduce operating costs while shifting its primary focus to developing a drug to treat notalgia paresthetica (NP), a neuropathic disorder for which here is no federally approved therapy.
NP can create itching or pain within a small patch of the skin on the mid-back area. Cara stated it will now focus its resources on the oral difelikefalin Phase 2/3 clinical program for NP therapy and will discontinue its other focus on developing a kidney disease treatment.
“We are sharpening our clinical focus on the rapidly progressing Phase 2/3 study in NP, which we believe is the therapeutic indication with the greatest commercial potential for oral difelikefalin,” said Christopher Posner, president and CEO of Cara Therapeutics. “Following careful consideration, we have decided to discontinue our work in advanced chronic kidney disease (CKD). I would like to thank the patients and investigators who have participated in our advanced CKD clinical program, as well as our employees for their commitment to transforming the lives of CKD patients suffering from pruritus.”
Posner added that because of the “difficult decision to restructure the company, many of our talented team members will depart the organization. I am deeply grateful for their dedicated service and support of our mission. We expect the changes we are making to extend our cash runway into 2026, allowing us to reach all expected key value-inflection milestones in the NP clinical program.”
The company has 84 employees and ended 2023 with $101 million. While Posner did not state how many workers will be let go, FierceBiotech.com reported up to 50% of Cara’s employees will be let go, including Chief Scientific Officer Dr. Frédérique Menzaghi, effective Feb. 2.
