Digital healthcare firm Trellus Health faces a race to secure fresh funding and stay afloat, despite extending its cash runway until early December 2025.
The AIM-listed company, which operates the Trellus Elevate digital platform to help patients manage chronic conditions such as inflammatory bowel disease, said it held $1.6 million in cash at the end of June.聽
This was enough to fund operations until early November, but, following new cost-saving measures, that runway has been extended by another month.
The London and New York-headquartered firm has also managed to reduce its monthly cash burn from around $440,000 to $395,000, but without new investment or a major revenue boost, it could still run out of funds before the end of the year.
The board said it remains in talks with investors about a potential equity fundraising, though 鈥渢here can be no certainty that any funding transaction will be concluded鈥�.聽
It added that no other near-term strategic opportunities are expected to materialise before December.
The update comes as the HealthTech continues contract negotiations with two leading global clinical research organisations (CROs).聽
One collaboration to support a mid-stage clinical trial is in late-stage contracting, while another is progressing after Trellus was awarded preferred vendor status (PVS).聽
While PVS is not revenue-generating, it gives the company faster access to new clients and potential contracts.
However, the company鈥檚 ability to continue operating beyond December now depends on successfully completing a funding round or securing a new revenue-generating partnership.聽
Trellus, which floated in 2021 with a share price of 65p, said it will update investors 鈥渋n due course鈥�.聽
Its shares are now trading at 0.64p and its market cap sits at just over 拢1m.
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