Oncorus, Inc., an RNA medicines company focused on developing intravenously administered, self-amplifying RNA to transform outcomes for cancer patients, has approved a workforce reduction of approximately 55 employees, virtually all of its workforce, by August 2023.

The company’s board of directors approved the move in response to challenges associated with raising additional capital and pursuing strategic alternatives to secure additional funding, including current market conditions.

Theodore Ashburn, CEO, Stephen Harbin chief operating officer and chief of staff, and John Goldberg, chief medical officer will leave the company no later than June 30, 2023. Ashburn will remain on the company’s board of directors and Alexander Nolte interim chief financial officer will remain with the company.

In a statement, the company said that despite cost-savings measures associated with the workforce reduction, the company anticipates that its existing cash and projected cash flows will not be sufficient to meet its working capital and operational needs beyond the third quarter of 2023. As a result, the company cannot currently provide any assurance that it will be able to secure sufficient liquidity to fund its operations beyond that date.

Oncorus continues to assess all available strategic options to maximize value for all of its stakeholders, including, but not limited to, an acquisition, merger, reverse merger, divestiture of assets, licensing, or other strategic transactions. However, there is no set timetable for this process and there can be no assurance that this process will result in the company pursuing a transaction or that any transaction, if pursued, will be completed on attractive terms.

In addition, if the company is unable to complete a transaction, it will be required to seek bankruptcy protection or other alternatives for restructuring and resolving its liabilities, including an orderly winddown.